Aerovate and Jade Biosciences Announce Merger to Transform Autoimmune Disease Therapies

Aerovate Therapeutics and Jade Biosciences have announced a definitive merger agreement in an all-stock transaction aimed at advancing treatments for autoimmune diseases. The newly formed company, to operate under the Jade Biosciences name, will focus on developing therapies such as JADE-001, aimed at targeting IgA nephropathy, a chronic kidney disease. Jade Biosciences, which was founded using assets from Paragon Therapeutics, will leverage a $300 million private investment, expected to fund operations through 2027. Pre-merger financing has been oversubscribed, with commitments from prominent healthcare investors. Aerovate stockholders will receive a cash dividend of approximately $65 million prior to the closure of the merger, and upon finalization, Jade Biosciences stock will trade on Nasdaq under JBIO. The merger has received board approvals and is slated to close in the first half of 2025, subject to customary conditions.