Japanese Mitsubishi Tanabe Pharma (MTPC) has agreed to acquire Medicago, a biopharma company that develops vaccines, in a deal valued at nearly $357m.
Based on the terms of the definitive agreement, the acquirer will purchase all of the issued and outstanding common shares of Medicago for $1.16 per share in cash, other than the shares currently held by Philip Morris Investments.
Following completion of the acquisition in later this year, which has been approved unanimously by the board of directors of Medicago, MTPC will own 60%, while PMI 40% will have of Medicago.
Medicago president and CEO Andy Sheldon said, "Mitsubishi Tanabe Pharma's capabilities in biopharmaceutical research, development, and commercialization along with its financial stability offer us the ideal opportunity to realize the full potential of our platform."
"These resources provide us the ability to foster the development of innovative vaccines with the financial stability to expand our Quebec, Canadian, U.S. and global operations."
TD Securities has been hired to serve as financial advisor to Medicago, and Desjardins Capital Markets, as independent valuator to the Special Committee, and both advisers have offered an opinion to the special committee and board of directors of Medicago.
