Fulcrum Therapeutics rises on all-stock merger with Slate Medicines

Shares of drug developer Fulcrum Therapeutics (FULC.O) rose 4.8% to $3.92 premarket after the company agreed to merge with privately held Slate Medicines in an all-stock deal.

The combined company is set to focus on Slate’s experimental migraine treatments. Fulcrum shareholders are expected to own 5% of the combined company and receive an estimated $270 million cash dividend before the deal closes.

The combined company will focus on Slate’s lead migraine drug, SLTE-1009, with initial early-stage safety and drug-concentration data expected in mid-2027. The deal is expected to close in Q4, subject to shareholder and regulatory approvals, and the combined company is expected to trade on Nasdaq under the ticker SLTE.

As of the last close, Fulcrum was down 66.9% year to date.