The Daily Dish (6/02/21)
NeuroRx, an Israel based clinical small molecule pharmaceutical has announced the completion of a merger with Big Rock Partners Acquisition Corporation which is a SPAC.
The deal is estimated to be worth $1.5 billion valuation and will trade on NASDAQ as NRXP.
The company’s two primary products are ZYESAMI, an application for COVID-19 related respiratory failure and NRX-101 which focuses on suicidal bipolar depression and PTSD.
The company announced that the funds from the SPAC will be used to continue the development of its drugs ZYESAMI and NRX-101.
The fees US banks have earned from SPAC’s have plunged in the last two months, disrupting what has been a main profit generator on Wall street.
Investment Banks have made a measly $430 million from SPAC’s in April and May compared with $3 Billion in fees in January and February.
April and May only saw 30 US SPAC IPO’s, which was much lower than 299 in the first quarter. As a result of the slowdown, SPAC fees now lag behind the rate which was seen in the second half of 2020.
Some bankers remain hopeful of a rebound in the market, particularly if the wider pullback in the technology sector valuation reverses.