Avalon GloboCare Corp. (AVCO) shares pop up 11.36% in after-hours on Wednesday, July 14, 2021, and closed the daily trading at $0.98 per share. Earlier in the morning session, AVCO’s stock lost 2.44% to close Wednesday’s session at $0.88. AVCO shares have fallen 48.24% over the last 12 months, and they have moved down 6.51% in the past week. Over the past three months, the stock has lost 12.00%, while over the past six months, it has declined 24.79%.
Let’s see what’s happening recently with AVCO?
A first-in-human clinical trial evaluating anti-EphA2 initiated
On July 01, 2021, Avalon GloboCare Corp announced that its planned acquisition target, SenlangBio, has initiated a first-in-human clinical trial evaluating anti-EphA2 chimeric antigen receptor (CAR) T-cell therapy for recurrent glioblastoma. Glioblastoma is the most common type of primary brain tumour and a devastating and aggressive cancer with few treatment options.
Shareholders updated aboutSenlangBio acquisition
On June 28, 2021, Avalon GloboCare Corp provided the following letter to shareholders from its President and Chief Executive Officer, David Jin, M.D., Ph.D.:
The CEO of Avalon said that he believes that the acquisition, which is subject to certain previously disclosed closing conditions, will significantly enhance Avalon’s capabilities in cell and gene therapy, expanding our therapeutic pipeline by adding 15 autologous and universal (“off-the-shelf”) cell therapy programs.
Acquisition of SenlangBio
On June 14, 2021, Avalon GloboCare Corp entered into a definitive agreement to acquire Hebei Senlang Biotechnology Co. Ltd. SenlangBio is currently the largest cell therapy company in Northern China in terms of bio-manufacturing scale, breadth and depth of clinical development programs, and pre-clinical research.
Avalon will issue 81 million shares of its common stock to acquire SenlangBio. The terms of the Acquisition will be detailed in Avalon’s Current Report on Form 8-K to be filed with respect to the Acquisition on or about the date hereof.
Avalon facing legal actions over the acquisition of SenlangBio
Avalon is facing several investigations about its merger with Senlang Bio from many reputable law firms.
On June 18, 2021, Lifshitz Law Firm announced an investigation into a possible breach of fiduciary duties in connection with the merger of AVCO with Hebei Senlang Biotechnology Co. Ltd.
On June 14, 2021, Halper Sadeh LLP, announced that it is investigating whether the merger of Avalon GloboCare Corp. (NASDAQ: AVCO) and Hebei Senlang Biotechnology Co. Ltd is fair to Avalon shareholders.
Participation in the recent investor conference
AvalonGloboCare Corp recently participated at the Noble Capital Markets Investor Forum during the 16th Annual World Stem Cell Summit which held virtually on June 14-18, 2021.
The company was presented by its President and Chief Executive OfficerDavid Jin, M.D., Ph.D., and by its Chief Financial OfficerLuisa Ingargiola.
The recent acquisition agreement is a significant development for the company. It is facing some legal challenges over the agreement but we think that the proposed acquisition of SenlangBio will go ahead which is more beneficial for Avalon. The AVCO stock can further rise in the coming days if everything goes according to the plan about the acquisition of SenlangBio.