Redwoods Acquisition Corp. (NASDAQ:RWOD) shares traded higher on Friday after the company announced that shareholders had approved its merger agreement with Anew Medical.

Following the consummation of the transactions, Redwoods will change its name to Anew Medical, the company said in an exchange filing (April 18).

On May 30, 2023, Redwoods Acquisition entered into a business combination agreement with Anew Medical Sub, Inc.

The transaction values the combined company at a pro forma enterprise value of approximately $94.0 million, with existing ANEW stockholders rolling over 100% of their equity into the combined company.

The transaction is expected to provide approximately $54 million of cash proceeds, assuming no redemptions by Redwoods stockholders.

According to Benzinga Pro, RWOD stock has lost over 22% in the past year.

Last year, the company received a delinquency notification letter from Nasdaq due to its failure to timely file its Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2023.

Price Action: RWOD shares are trading higher by 53.80% to $12.30 at the last check Wednesday.

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