By: IPP Bureau
Last updated : September 04, 2026 8:58 am
Both transactions will be funded through internal accruals and are expected to be completed by the end of September 2026
Cohance Lifesciences Limited has announced two proposed transactions involving an additional USD 13 million investment in NJ Bio and a USD 5 million controlling investment in Aruka Bio, as it seeks to strengthen its antibody-drug conjugate (ADC) strategy.
Both transactions will be funded through internal accruals and are expected to be completed by the end of September 2026, subject to definitive agreements, applicable approvals and customary closing conditions.
As part of the proposed NJ Bio transaction, Cohance will increase its common-equity ownership in the company from 56% to 67.3%, acquiring the entire holdings of Priyashri Nayak and the Jain Family Irrevocable Trust.
Dr. Jain will retain a 32.7% stake and will continue to lead NJ Bio while also advancing Aruka Bio’s pipeline and partnership initiatives.
NJ Bio will remain focused on customer-facing contract research, development and manufacturing services. Its payload-linker and bioconjugation capabilities will be integrated more closely with Cohance’s manufacturing platform, with the aim of providing customers an end-to-end CRDMO offering from development through commercial supply.
Cohance will also invest USD 5 million in Aruka Bio, a Princeton, New Jersey-based biotechnology company focused on next-generation ADCs. Its lead programme is currently at the preclinical stage.
The investment will fund the buyout of existing shareholders and convertible noteholders, along with working capital. Following completion and Dr. Jain’s upfront equity grant, Aruka will be owned 65% directly by Cohance, 25% by NJ Bio and 10% by Dr. Jain, before further dilution from Dr. Jain’s performance-linked equity award.
Aruka will become a direct subsidiary of Cohance, giving the company control of Aruka’s proprietary ADC platform. Cohance plans to pursue potential co-development, licensing and other partnerships with pharmaceutical and biotechnology companies as Aruka’s pipeline advances.
The proposed restructuring follows Cohance’s review of NJ Bio’s performance and integration since its original investment in December 2024.
The review identified an opportunity to strengthen commercial alignment between NJ Bio and Cohance as NJ Bio expands its GMP CDMO services, while providing dedicated leadership focus to Aruka’s proprietary drug development pipeline.