Newtown-based Onconova Therapeutics is joining forces in a major merger deal with drug development company, Trawsfynydd Therapeutics, writes John George for the Philadelphia Business Journal.  

Onconova holds the distinction of being the oldest biotechnology firm in the region, yet it has not successfully brought a product to market approval. 

This merger gives Onconova a $14 million boost and the all-stock transaction puts the value of the combined company at $132 million.  

The new company, under the helm of CEO Werner Cautreels, will be based out of Newtown and aptly named Traws Pharma. It will continue Onconova’s legacy of focusing on developing cancer therapies.  

Onconova is set to take over Trawsfynydd by getting all of its shares. In return, they will give out 3.5 million of their regular shares and 10.4 million new shares of convertible preferred stock.  

In a filing before the merger announcement, the Newtown-based company said that it needed additional capital and said it only had the means to fund operations into this year’s third quarter.  

With new funds, the newly merged company aims to advance three drug candidates, including an influenza vaccine, a COVID-19 treatment, and an endometrial cancer therapy.  

Read more about Onconova Therapeutics merger and what it entails in the Philadelphia Business Journal.  

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