Sangamo Therapeutics Initiates Voluntary Chapter 11 Bankruptcy Reorganization
Sangamo Therapeutics (SGMO) announced that it has commenced voluntary Chapter 11 bankruptcy reorganization proceedings and entered into separate "stalking horse" asset sale agreements with Eli Lilly (LLY) and Astellas Pharma (ALPMF). Under the agreements, Lilly will bid for Sangamo's genomic platforms and prion disease program, while Astellas will bid for its Fabry disease program. The company has secured a commitment for debtor-in-possession financing from Northridge ATM, LLC to support its operations through the court-supervised auction and restructuring process. "Following a comprehensive review of available alternatives, we believe this process provides a clear framework to pursue value-maximizing transactions," said Sandy Macrae, CEO of Sangamo Therapeutics. "Our priority is to execute a disciplined and efficient sale process while supporting all of our stakeholders. We are also pleased to have signed agreements with two large pharmaceutical companies to serve as stalking horse bidders in the process, underscoring the strategic interest in our assets."
