Insights

May 22, 2026: A Crowell & Moring team represented Kanders & Company in a complex carveout transaction in which Kanders acquired the biosecurity business of publicly traded Ginkgo Bioworks. The resulting company, Perimeter Systems, has launched as the world’s first integrated biosecurity infrastructure platform, designed to transform biological signals into real-time intelligence and accelerate decisive response. At closing, Perimeter secured $60 million in growth capital, led by Kanders in partnership with SCS Financial, Goldcrest Capital, Four Cities Capital, and the Safe Artificial Intelligence Fund (SAIF).

On July 4, 2025, President Trump signed into law the One Big Beautiful Bill Act (the “Act”), after it was passed by Congress on July 3, 2025. Notably, the Act made significant and welcome changes from the perspective of startup company stockholders and venture capital investors to the qualified small business stock (“QSBS”) rules set forth in Internal Revenue Code (“Code”) Section 1202. In a nutshell, the changes modernize (by adjusting for inflation) and expand the already favorable tax treatment for QSBS under Code Section 1202. The Act also permanently reinstates elective expensing for qualifying domestic research and experimental expenditures that will likely help more startups in research and capital intensive sectors qualify for favorable QSBS treatment.