Plans to add third pipeline to merged RDD and Innovate

The merger of Israeli gastrointestinal disorders specialist RDD Pharma and US biotech Innovate Biopharmaceuticals (Nasdaq: INNT) has yet to be consummated, but the merged entity’s first proposed acquisition has already been announced.

RDD has entered into a non-binding letter of intent to acquire Naia Rare Diseases, a California-based biopharma developing drugs for short bowel syndrome (SBS) and other rare gastrointestinal diseases, and the acquisition is expected to go ahead once the merger is finalised, creating a company called 9 Meters Biopharma.

"We expect multiple value creating inflection points over the next 24 months"