Sun Pharma To Acquire Concert Pharma

(RTTNews) - Sun Pharmaceutical Industries Limited said it agreed to acquire all outstanding shares of Concert Pharmaceuticals Inc. (CNCE) through a tender offer for an upfront payment of $8.00 per share of common stock in cash, or $576 million in equity value.

Concert stockholders will also receive a non-tradeable contingent value right (CVR) entitling holders to receive up to an additional $3.50 per share of common stock in cash, payable upon deuruxolitinib achieving certain net sales milestones within specified periods.

The upfront payment of $8.00 per share of common stock in cash represents a premium of approximately 33% to Concert's 30-day volume weighted average price as of January 18, 2023.

Concert is a late-stage biotechnology company pioneering the use of deuterium in medicinal chemistry. Concert has an extensive patent portfolio, including its lead product candidate deuruxolitinib - an oral inhibitor of Janus kinases JAK1 and JAK2 for the treatment of Alopecia Areata, an autoimmune dermatological disease - which is in late-stage development.

The transaction is expected to be completed in the first quarter of 2023.