GenVec rockets 40% on news of buyout deal with Intrexon

Synthetic biology specialist Intrexon (NYSE: XON) has entered into a definitive agreement to acquire GenVec (Nasdaq: GNVC), a clinical-stage company and pioneer in the development of AdenoVerse gene delivery technology, with the news sending the latter’s shares soaring more than 40% to $6.36 by mid-morning trading today.

Intrexon intends to integrate and expand upon GenVec's expertise in adenoviral vectors and current Good Manufacturing Practice (cGMP) drug product manufacturing to enhance its broad gene transfer capabilities that encompass multiple viral and non-viral platforms. Notably, the combined technologies have the potential to yield the next generation of adenoviral (AdV) delivery through the creation of a scalable manufacturing platform utilizing helper-dependent adenovirus with significantly higher payload capacity of >30kb, as compared to current viral delivery methods ranging from 4.5kb – 9kb.

Transaction terms and timing