Vectura Group plc (OTCPK: VEGPF) closed at $2.285 on Wednesday, up 59.79 percent. The price of Vectura stock has been at $2.285 throughout the day. In the wake of a multibillion-dollar takeover deal, VEGPF stock rose.
How did the bid come about?
Vectura is a provider of innovative inhaled drug delivery solutions that allow partners to reach more patients with their medications. VEGPF has a unique proprietary technology platform combined with pharmaceutical development expertise, making it one of the few companies globally that can deliver an extensive range of complex inhaled therapies.
Carlyle Group Inc. agreed yesterday to purchase Vectura for 958 million pounds ($1.4 billion), a cash transaction that will boost the British drugmaker’s transformation efforts.
- Carlyle announced a cash distribution of 136 pence per Vectura share, along with a 19-pence cash dividend, in a statement.
- Compared to Vectura’s closing price on Tuesday, the offer represents a 27% premium.
- In Wednesday’s trading, Vectura stock surged 31% in London.
- As it looks to become an inhaled therapy provider for others, Carlyle hopes to help VEGPF expand.
- In addition to Covid-19 medicine, VEGPF is working on other projects.
- The board of directors of the Wiltshire, England-based company approved the purchase of VEGPF.
- Carlyle predicts the Vectura deal will close in the third quarter if the necessary clearances are obtained.
- In a separate statement, VEGPF said it expected to more than triple its revenues from a contract, development, and manufacturing this year.
Carlyle got into the bidding as Vectura (VEGPF) develops inhaled medicines in partnership with Bayer AG and Novartis AG. As the only provider of complex inhaled therapies in the world, Vectura offers a wide range of products and is a leading device, formulation, and development company.