Rallybio (RLYB) investor relations material

Deal rationale and strategic fit

• The merger creates a leading company in T-cell engager (TCE) therapeutics for autoimmune diseases, leveraging complementary expertise and advanced pipelines.

• The combined entity, to operate as Candid Therapeutics, will focus on a diversified TCE portfolio targeting B-cell and plasma cell proteins and significant unmet needs.

• The strategy is to capitalize on clinical and technical data supporting TCEs' transformative potential, especially where broader industry conviction is still emerging.

• Strategic goals include advancing multiple clinical programs, such as Phase 2 studies for cizutamig in myasthenia gravis and interstitial lung disease.

Financial terms and conditions

• Candid stockholders receive newly issued shares of Rallybio common stock, with exchange ratio based on relative valuations at closing.

• Pre-transaction Rallybio equityholders will own about 3.65% and Candid equityholders about 96.35% of the combined company.

• Pre-closing Rallybio stockholders receive contingent value rights (CVRs) tied to proceeds from legacy asset sales.

Synergies and expected cost savings

• Operational and financial efficiencies are achieved by conducting clinical studies in China, accelerating data generation and decision-making.

• The merger enables pooling of resources to expand the TCE portfolio and advance multiple candidates into clinical development.

• Merger expected to provide significant optionality and value creation through a broad, advanced TCE pipeline.

• Combined cash balance of approximately $700 million at closing expected to fund operations through 2030.