VaxGen has completed its merger transaction with diaDexus, a diagnostics company focused on the development and commercialisation of patent-protected in vitro diagnostic products addressing unmet needs in cardiovascular disease.

Under the terms of merger agreement, diaDexus expects to operate as a wholly-owned subsidiary of VaxGen.

VaxGen has issued approximately 19,960,534 shares to certain diaDexus stockholders and officers, as consideration in the transaction.

As a result of issuance, VaxGen has 53,067,057 shares of common stock issued and outstanding, of which pre-transaction diaDexus stockholders and officers own approximately 38% and pre-transaction VaxGen stockholders continue to own approximately 62%.

Patrick Plewman, the new president and chief executive officer of VaxGen, said: “The Board of Directors and I are very pleased to announce the completion of this transaction. We believe the company has the opportunity for strong revenue growth based on the potential of the PLAC Test and on the cash assets that are being combined in this merger.

“The PLAC ELISA Test for Lp-PLA2 is the only blood test cleared by the FDA to assess risk for coronary heart disease and ischemic stroke in the US.”

Effective upon the closing of the transaction, VaxGen’s board was reconstituted and new officers were appointed. The new VaxGen board of directors is comprised of Patrick Plewman, Louis Bock, Charles Patrick, Lori Rafield and James Panek.