19 Sep 2013, BioSpectrum Bureau , BioSpectrum
Singapore: Japanese drugmaker Mitsubishi Tanabe Pharma Corporation (MTPC) and Canada-based Medicago, a clinical-stage biopharmaceutical company developing novel vaccines and therapeutic proteins, have announced the completion of the previously announced acquisition of Medicago by MTPC.
Québec, a subsidiary of MTPC, acquired all of the outstanding common shares of Medicago, other than the common shares currently held by MTPC and Philip Morris Investments, an affiliate of Philip Morris International. As a result, Medicago has become jointly owned by MTPC (60 percent) and PMI (40 percent). Shareholders of Medicago, as of the effective date of the arrangement, will be entitled to receive $1.16 per common share in cash, and holders of warrants and stock options will be entitled to receive a cash payment equal to the difference between $1.16 and the exercise price of any warrant or stock option they hold.
The common shares of Medicago will be delisted from trading on the Toronto Stock Exchange, at the end of trading today.
"We are very pleased with the completion of this transaction and welcome Medicago to our group. We look forward to working with Medicago's management and employees as well as all the stakeholders to develop highly effective and competitive vaccines based on Medicago's proprietary technologies to contribute to the healthier lives of people around the world," said Dr Michihiro Tsuchiya, president and chief executive officer of MTPC.
"I would like to sincerely thank our employees, investors , partners and board members for their important contribution leading to Medicago's success," said Mr Andy Sheldon, president and chief executive officer of Medicago. "I would also like to thank our corporate partners MTPC and PMI for their confidence in Medicago. We look forward to working closely with them to ensure our innovative, effective and cost efficient technology and products are brought to market," Mr Sheldon added.