Reviving a Silent Spell: Celixir, a UK-based cell therapy biotech, emerges from the shadows with a transformative move. Following a prolonged hiatus since July 2020, where their clinical trial for cardio cell therapy was halted due to the pandemic, Celixir has found a new lease on life through a reverse merger with special purpose acquisition company (SPAC) Ashington Innovation. The daring merger saw Ashington contribute a substantial £135 million ($172.2 million) in an all-share transaction. Moreover, Ashington aims to secure an additional £3 million ($3.8 million) to fuel further advancements in drug development.
The rejuvenation of Celixir is a remarkable twist of fate. Their financial status had been struggling, with a mere £285,000 ($363,500) in hand and over £10 million ($12.8 million) in liabilities as of March 2023. This financial struggle had persisted for over a year. Leadership dynamics within the company also experienced turbulence; co-founders Sir Martin Evans, a Nobel laureate renowned for embryonic stem cell research, and Ajan Reginald were removed from their director roles in April 2021, only for Reginald to be reappointed three months later. This shifting leadership was in stark contrast to the company’s consistent focus on an allogeneic cell therapy for ischemic cardiomyopathy, employing immunomodulator progenitor cells.
Celixir’s journey was punctuated by a promising milestone in July 2020, when they successfully dosed their first patient in the clinical trial. The pandemic had necessitated a pause, with plans to restart recruitment in the third quarter and complete the trial by 2021. However, the world’s underestimated timeline for containment measures showed the company’s naivete in predicting the situation’s duration. Surprisingly, this accomplishment marked the last public press release from Celixir.
The catalyst behind Ashington’s interest in Celixir remains enigmatic. As a recently established SPAC trading on the London Stock Exchange since June, Ashington’s focus lies on technology sector acquisitions. Notably, Peter Presland, Ashland’s chairman, boasts an insurance background and an extensive nonexecutive director portfolio since 2001. Meanwhile, Executive Director Jason Drummond’s resignation was announced due to other commitments.
This revival of Celixir through a strategic partnership with Ashington signifies a comeback that holds the promise of revitalizing innovative medical advancements. As Celixir embarks on a new phase with newfound financial backing, the spotlight now shines on their potential to make significant contributions to the biotech landscape, leveraging their expertise in allogeneic cell therapy.
