Emergent BioSolutions closes buy of Canada's Cangene.
24 February 2014 - US vaccine and antibody therapeutics developer Emergent BioSolutions Inc (NYSE:EBS) said it had closed the acquisition of Canadian biopharmaceutical firm Cangene Corporation (TSE:CNJ) for a total of USD222m (EUR161.6m), or USD3.24 per share.
Once Cangene pay all transaction-related costs, Emergent is seen to receive some USD40m of cash from target in relation to the completion, the buyer further explained.
The transaction will speed up Emergent's expansion by boosting its biodefence offering and by adding fill or finish, manufacturing capabilities to its portfolio, the buyer's CEO, Daniel Abdun-Nabi, said in a statement. The pro forma combined revenue of the companies is seen top USD430m, Abdun-Nabi said in early December 2013 when the deal was announced.
Cangene develops and markets speciality therapeutics mainly used in the biodefence industry. Its portfolio also includes four hospital-based therapies licensed by the Food and Drug Administration (FDA), targeting infectious diseases, hematology and transplantation.
Emergent funded the transaction with cash on hand and a USD225m committed debt financing from Bank of America Merrill Lynch along with PNC Bank and JP Morgan Chase Bank NA.
Sector: Biotechnology, Pharmaceuticals
Target: Cangene Corporation
Buyer: Emergent BioSolutions Inc
Deal size in USD: 222m
Type: Corporate acquisition
Financing: Cash & Debt, Existing resources
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|Publication:||M & A Navigator|
|Date:||Feb 24, 2014|
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