By Robb M. Stewart

AI-driven drug discovery and biotechnology company Nanyang Biologics has struck a deal to become publicly listed via a combination with special-purpose acquisition company RF Acquisition Corp II.

Internet company The9 said Thursday its Singapore investee firm is expected to gain a Nasdaq listing and will have a roughly $1.5 billion pre-transaction equity value.

Nanyang Biologics' existing shareholders, including The9, will roll over all of the equity and retain a majority of the combined company's outstanding shares. Nanyang Biologics will also designate a majority of the combined company's board of directors.

The biotechnology company holds a portfolio of patents across its drug-candidate pipeline and proprietary "nutraceuticals." The company's aim is to accelerate the discovery of more effective drug molecules and identify active ingredients from natural sources for use in pharmaceuticals and traditional medicine through the use of its artificial intelligence platform.

The transaction has been approved by the boards of Nanyang Biologics and Nasdaq-listed RF Acquisition Corp II. The deal is expected to close in the first or second quarter of 2026, subject to shareholder approval.

Special-purpose acquisition companies, or SPACs, are shell company that raise money and list publicly with the goal of merging with a private company. SPAC mergers have become popular alternatives to traditional initial public offerings, and have allowed startups with scant track records to list.

Pre-market trading was halted for both companies. The9 trading has resumed with shares up roughly 11% at $10.82. RF Acquisition Corp II shares closed Wednesday at $10.66.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

October 02, 2025 07:49 ET (11:49 GMT)

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