NeuroVive Pharmaceutical has made a partial acquisition of British company Isomerase Therapeutics with the overall goal to strengthen the partnership and accelerate NeuroVive’s research and development program.
The acquisition aims to further enhance the collaboration and to ensure that NeuroVive’s projects remain a key priority for Isomerase. Furthermore, the partnership will support the discovery of new compounds, based on the additional expertise Isomerase brings to the partnership. Most recently, the joint teams at NeuroVive and Isomerase have been able to advance the drug candidate process for the Complex I program (NVP015) and the project is progressing well.
“We highly value our strong partnership with the team at Isomerase and want to ensure we remain aligned on project priorities moving forward. Isomerase brings additional expertise to the table which supports our R&D efforts and allows us to both accelerate our current R&D program as well as identify new compounds to fuel our future portfolio” said Jan Nilsson, interim CEO of NeuroVive Pharmaceutical.
“Through our collaboration with Isomerase, our discovery platform for complex I deficiency has already seen advancements through the generation of new molecules and we expect to further progress this project as the aim is to select a drug candidate for preclinical development in 2016” continued Jan Nilsson.
The acquisition will be executed in two steps. The first step in the acquisition was executed on January 13, 2016 when NeuroVive acquired approximately 5% shares in Isomerase with payment in own shares. The next step in the acquisition will be completed later this year where NeuroVive will acquire approximately 5% further of the shares in Isomerase as a cash payment of 550 000 GBP.
In order to make payment for the shares in Isomerase acquired January 13, 2016, the NeuroVive board of directors approved the same day, with prior authorization from the AGM on March 30 2015, the issue of 738,533 new shares.The purchase price for the first step amounting to approximately 6.8 million was based on the average closing price of NeuroVive shares on Nasdaq Stockholm from 23 December 2015 to January 12, 2016 inclusive.
The Non-Cash Consideration increases the number of shares of NeuroVive with an additional 738,533 shares from 30,735,152 shares to 31,473,685 shares in total and increases the share capital by SEK 36,926.65 from SEK 1,536,757.60 to SEK 1.573.684.25 in total. The Non-Cash Consideration entails a dilution of approximately 2.4%.