AeroClean Technologies To Merge With Molekule In An All-stock Deal

(RTTNews) - Shares of AeroClean Technologies, Inc. (AERC) surged over 33% in extended hours on Monday after the company announced an all-stock merger with Molekule, Inc.

The combined company is expected to generate about $45 million of revenues in FY 2022 on a pro forma combined basis and is expected to have a solid balance sheet with a strong liquidity profile upon consummation of the merger.

AeroClean stockholders will own 50.5%, and Molekule stockholders will own 49.5% of the combined company. AeroClean will change its name and ticker symbol to Molekule, Inc. (MKUL) upon completion of the merger.

The combined company will remain headquartered in Palm Beach Gardens, Florida, with significant operations in Lakeland, Florida and offices in San Francisco, California.

The transaction has been unanimously approved by the board of directors of both AeroClean and Molekule and by a majority of AeroClean's stockholders. The merger is expected to close early in the first half of 2023.

AERC closed Monday's trading at $3.2100, up $0.3200 or 11.07%, on the Nasdaq. The stock further surged $1.0900% or 33.9564% in the after-hours trading.