After Failed Acquisition, Layoffs and Lawsuit, Rista Finds a Path Forward in Marea Merger

Solid tumor drug developer Rista Therapeutics has found a new path forward through a merger with cardiovascular-focused company Marea Therapeutics.

According to Fierce Biotech on the 17th (local time), Rista announced a stock-for-stock merger with Marea. Under the reverse-merger-style transaction, Marea investors will own 59.5% of the combined company, while existing Rista shareholders will own about 2.4%. The remaining shares will be held by investors participating in a $225 million private placement.

The combined company will focus on Marea’s clinical-stage drug candidates MAR001 and MAR002. The two drugs are in Phase 2 trials for severe hypertriglyceridemia and acromegaly, respectively, with topline results expected in the fourth quarter of this year.

Participants in the private placement included RA Capital Management, Forbion, Third Rock Ventures and Sofinnova Investments.

After its planned merger with Qub Labs fell through last month, Rista laid off 72% of its staff and also let go of its chief medical officer (CMO). Qub Labs licensed a drug from Rista in 2024 and announced plans to acquire Rista earlier this year.

Rista CEO David Macho said, “After carefully evaluating strategic alternatives, the acquisition of Marea marks an important milestone for Rista. With a strong financial position, we are prepared to advance these programs to the next stage of development.”

In connection with the failed merger, Rista also filed a breach-of-contract lawsuit against Qub Labs in the Delaware Court of Chancery. It is seeking damages on behalf of shareholders, as well as a $2 million termination fee.