Calyxt to Merge with San Diego-Based Cibus
Calyxt first hinted at the possibility of a merger in September of 2022.

Calyxt to Merge with San Diego-Based Cibus

The combined company will be headquartered in San Diego, with Cibus leadership at the helm.
Calyxt first hinted at the possibility of a merger in September of 2022.

Roseville-based plant biotech company Calyxt on Tuesday announced it will merge with San Diego-based agricultural technology company Cibus. Calyxt first hinted at the possibility of a merger in September 2022. At the time, the company said it was weighing several options to “maximize shareholder value,” including a merger.

The merger with Cibus is slated to close in the second quarter of 2023, according to a joint news release issued Tuesday. The boards of directors of both companies unanimously approved the transaction. The companies formally entered an agreement to merge on Jan. 13.

Once the merger is complete, the combined company will be called Cibus Inc. Calyxt shareholders will own approximately 5% of the company, according to the release. Current Cibus management will lead the new combined organization. Cibus co-founder Rory Riggs will serve as both chairman and CEO. 

The corporate headquarters will be located in San Diego. But, Calyxt’s offices, laboratory, and breeding facilities in Roseville will remain operational as a “key” site for the combined company, the release said. 

The release did not state if any jobs would be lost in the merger, but Calyxt CFO Bill Koschak told the Star Tribune he expected the majority of the company’s 40 employees to stay.

Calyxt, which went public inc 2017, has been operating at a loss for over four years. Last year, the company was informed by Nasdaq it was at risk of being delisted because its stock had been below $1 per share for 30 consecutive days. It last received a 180-day extension to regain compliance in November. 

The company reported $26 million in revenue for 2021, compared to the previous year’s $23.9 million in revenue. But the company has also continued to report a yearly net loss. In 2021, it reported a loss of $29.2 million, down from $44.8 million in 2020. It reported a $39.6 million loss in 2019 and a $27.9 million loss in 2018.  

Most recently, Calyxt reported revenues of only $42,000 in its third quarter of 2022. This is down from $7.8 million in the same quarter in 2021.

“Cibus is an excellent strategic fit for Calyxt given our complementary technology platforms, and the merger provides a great opportunity to leverage multiple synergies to drive innovation and shareholder value,” said Calyxt CEO and president Michael Carr in the release. “I am deeply proud of the significant accomplishments made by our team and their commitment to further science in significant ways.”