Pulmatrix Q2 2025: Proposed merger to close in 2025, divesting iSPERSE technology.

• Pulmatrix to divest assets including iSPERSE™ technology • Proposed merger with Cullgen expected to close in 2025 • Pulmatrix to focus on migraine and respiratory disease treatments • iSPERSE™ technology enables inhalation delivery of drugs to lungs • Pulmatrix's focus is on preventing and treating respiratory diseases • Merger will enable Pulmatrix to advance its inhaled therapeutic products.

Pulmatrix, Inc. (Nasdaq: PULM) has announced its intention to divest certain assets, including its proprietary dry powder delivery technology, iSPERSE™, as part of a proposed merger with Cullgen. The company, which focuses on the development of inhaled therapeutic products for migraine and respiratory diseases, aims to complete the merger in 2025, subject to regulatory approvals.

The merger with Cullgen, a clinical-stage biopharmaceutical company, is anticipated to close in 2025. If completed, the transaction will result in a Nasdaq-listed company concentrating on targeted protein degradation technology, with three degrader programs in Phase 1 clinical trials. Pulmatrix's iSPERSE™ technology, which enables the delivery of small or large molecule drugs to the lungs by inhalation, is a key asset that the company plans to divest.

The company's patent portfolio related to iSPERSE™ includes approximately 146 granted patents, with 18 granted U.S. patents and 54 pending applications. Pulmatrix believes that iSPERSE™ technology offers superior drug delivery compared to traditional oral and injectable forms of treatment for certain diseases.

Pulmatrix's second quarter financial results for 2025 reflect the company's focus on advancing the proposed merger and divestment plan. Revenues decreased to $0 from $1.6 million in the same period last year, primarily due to the completion of the wind-down of the PUR1900 Phase 2b clinical trial. Research and development expenses decreased to less than $0.1 million from $2.8 million, and general and administrative expenses decreased to $1.5 million from $2.0 million. The company's total cash and cash equivalents balance as of June 30, 2025, was $5.8 million, and it anticipates that its cash position is sufficient to fund its operations until the anticipated closing of the merger.

The proposed merger and divestment plan reflect Pulmatrix's strategic shift to focus on migraine and respiratory disease treatments. By divesting its iSPERSE™ technology and clinical programs, the company aims to streamline its operations and concentrate on its core competencies. The merger with Cullgen will enable Pulmatrix to advance its inhaled therapeutic products and leverage Cullgen's targeted protein degradation technology.

References:
[1] https://www.prnewswire.com/news-releases/pulmatrix-announces-second-quarter-2025-financial-results-and-divestment-plan-for-inhalation-assets-302522900.html