Green Data Center Real Estate has entered into a letter of intent to acquire Israeli biotech firm Vaxil Bio.

Vaxil Bio is currently listed on the stock exchange and will divest all existing assets except cash to unrelated third parties.

The transaction is subject to regulatory approval and is due to close before the end of June. Other details related to the transaction have yet to be disclosed.

In connection with the acquisition, Green Data will also secure a loan, amounting to a minimum of C$2 million ($1.46m). The financing will be used for general corporate purposes and to fund the development of pipeline projects, said the company.

Green Data is a data center provider, that creates renewable generation and battery energy storage systems. The company was previously known as NuYen Enterprise Hosting and NuYen Blockchain before that, and currently has data centers in operation or under construction in Murphysboro, Illinois; New Mexico; and Canada.

Green Data is headed up by Jason Bak, the former CEO and chairman of Finavera Renewables and Solar Alliance.

Vaxil Bio is now headquartered in Toronto, Ontario, having been founded in Israel in 2007. The company almost closed on a similar merger with a copper mining company earlier this year. At the time Vaxil said: "The company will continue to actively explore other strategic options for maximizing shareholder value, including the continued development of Vaxil’s existing assets."

Prior to the letter of intent, Vaxil Bio specialized in immunotherapy of cancer and infectious diseases. The company’s lead product ImMucin was being developed to treat and prevent tuberculosis and Covid-19.

5X Capital Management is acting as the financial advisor to Green Data.