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Chardan Healthcare Acquisition 2 Announces Stockholder Approval Of Business Combination With Renovacor

Chardan Healthcare Acquisition 2 Corp. (NYSE:CHAQ) ("CHAQ"), a special purpose acquisition company sponsored by Chardan Capital Markets ("Chardan"), today announced the results for the proposals

Benzinga · 09/01/2021 16:44

Chardan Healthcare Acquisition 2 Corp. (NYSE:CHAQ) ("CHAQ"), a special purpose acquisition company sponsored by Chardan Capital Markets ("Chardan"), today announced the results for the proposals considered and voted upon by its stockholders at its special meeting held on September 1, 2021 (the "Special Meeting"), regarding the proposed business combination with Renovacor, Inc. ("Renovacor"), an early‑stage biotechnology company developing adeno-associated virus (AAV)‑based gene therapies for devastating cardiovascular and central nervous system diseases resulting from BAG3 gene variants. CHAQ reported that all of the various proposals giving effect to the previously announced business combination between CHAQ and Renovacor were approved by approximately 97.3% of the shares of CHAQ common stock voted at the Special Meeting.

The closing of the business combination is expected to take place on September 2, 2021. Following the closing of the business combination, the combined company will be renamed "Renovacor, Inc." and its common stock and warrants are expected to commence trading on the New York Stock Exchange under the ticker symbols "RCOR" and "RCOR.WS", respectively, on September 3, 2021. Renovacor will continue to operate under its existing management team led by Magdalene Cook, M.D., its chief executive officer.

The deadline for electing redemptions of CHAQ common stock has passed and the transaction will provide gross proceeds of approximately $95.1 million, including $30.0 million from the concurrent closing of a previously announced private placement investment in public equity (PIPE) financing.

A group of premier investors participated in the PIPE financing, including RTW Investments LP, Surveyor Capital (a Citadel company), Chardan Healthcare Investments, Acorn Bioventures, Innogest Capital and Longview Ventures (an affiliate of Broadview Ventures). Other top-tier investors participating in the business combination include 683 Capital, Affinity Asset Advisors, Altium Capital, Ikarian Capital, Sio Capital Management and South Ocean Capital Management.

Chardan acted as M&A advisor and placement agent for CHAQ. Latham & Watkins LLP acted as legal counsel for CHAQ. Troutman Pepper Hamilton Sanders LLP acted as legal counsel for Renovacor.