Sucampo Pharmaceuticals, Inc. Acquires Vtesse, Inc.
On April 03, 2017, Sucampo Pharmaceuticals, Inc. (Sucampo) (NASDAQ: SCMP), a global biopharmaceutical company announced that it had acquired Vtesse, Inc. (Vtesse). Vtesse is a privately-held rare disease company dedicated to developing drugs for patients suffering from underserved diseases. Sucampo funded the acquisition through the issuance of shares of Sucampo Class A common stock and $170 million of cash on hand; with no external financing. Below are some highlights of the transaction that were identified:
- Diversifies pipeline with late stage program in Niemann-pick disease type 1 (NPC-1)
- Increases company focus on specialized diseases with high unmet need
- Leverages focus on orphan and pediatric diseases
- Expected to be accretive to earnings beginning in 2019
Under the terms of the agreements, Sucampo has acquired Vtesse for an upfront consideration of $200 million, and has agreed to pay Vtesse shareholders royalties based on increasing net sales levels. The upfront payment was made in the form of issuance of 2,782,678 Sucampo Class A common shares to Vtesse shareholders and an additional payment of $170 million cash on hand. The Vtesse shareholders have agreed to a three-month lock-up of the common shares that were issued.
Read the full press release at www.sucampo.com
Below are highlights of additional Merger and Acquisition activity from the last week:
Aerospace and Defense M&A News: On April 03, 2017 Mercury Systems, Inc. (NASDAQ: MRCY), announced that it had acquired Delta Microwave, LLC (“Delta”). Delta is a leading designer and manufacturer of high-value radio frequency (RF), microwave, and millimeter wave subassemblies. Under the terms, Mercury acquired Delta for $40.5 million in cash.
Read more at www.mrcy.com
Building Materials and Services M&A News: On April 04, 2017 BMC Stock Holdings, Inc. (NASDAQ: BMCH), a leading provider of diversified lumber and building materials and solutions, announced that it had acquired Texas Plywood & Lumber Company, Inc. (“TexPly”) and Code Plus Components, LLC (“Code Plus”). Through these acquisitions, BMC hopes to enhance its value-added offerings and footprint in the Dallas/Fort Worth and Washington, D.C. markets, respectively.
Read more at www.buildwithbmc.com/bmc
Aerospace and Defense M&A News: On April 04, 2017 The KeyW Holding Corporation (NASDAQ: KEYW) announced that it had completed its acquisition of Sotera Defense Solutions, Inc. (Sotera) – a security technology company that provides systems, solutions, and services for national security agencies. The transaction is an all cash transaction valued at approximately $235 million.
Read more at www.keywcorp.com
