16th Aug 2018 10:09
LONDON (Alliance News) - Shares in biopharmaceutical technology firm Abzena PLC rocketed Thursday after agreed to a takeover valuing the firm at around GBP34.4 million.
Astro Bidco Ltd, a firm set up by WCAS XII-Astro LP for the takeover, has offered 16 pence per Abzena share. This is a 167% premium to its closing price of 6p on Wednesday, and a 36% premium to its average price in the three months to Wednesday.
Shares were trading at 14.85p on Wednesday morning, up 148%.
Abzena's board has accepted the offer, and recommends shareholders vote in favour of it. So far, 78% of Abzena shareholders have supported the deal, which will see it leave the London Stock Exchange.
Abzena Chief Executive John Burt said: "We are pleased to have attracted the long-term support of a specialist investor of the calibre of WCAS.
"WCAS will provide us with immediate working capital for the business, followed by additional investment, post completion that will enable us to scale up the business and fund further development. We look forward to working with the WCAS team to continue to capitalise on the growing market opportunity for Abzena."
Separately, as a result of the deal, Abzena has ended talks to sell an interest in future royalties from some of its products.