Ventrus Biosciences boosted on merger plan with Assembly Pharma

USA-based Ventrus Biosciences (Nasdaq: VTUS) saw its shares leap 9.4% to $1.16 in pre-market trading, as it announced a merger agreement with privately-held Assembly Pharmaceuticals, in an all-stock transaction.

On the completion of the merger, financial terms of which were not disclosed, the combined company will be renamed Assembly Biosciences and trade on the Nasdaq Capital Market under the ticker "ASMB.” Once the transaction is complete, which is expected by July 10, the company will focus on the development of Assembly's novel, first-in-class small molecules to treat, and potentially cure, hepatitis B virus (HBV) infection.

HBV is an under-appreciated global epidemic with more than 350 million people worldwide chronically infected. Chronic HBV infection causes cirrhosis and liver failure, and it is a leading cause of liver cancer. Over 600,000 deaths each year are attributable to HBV. Current treatments can suppress the infection but require lifelong therapy since fewer than 10% of infections are currently cured.