Eargo to go private in a $53 mln merger deal, shares fall

Eargo

30/10/2023 12:32

** Eargo Inc's shares  EAR.O  fall 5.3% to $1.60 premarket
    ** Medical device maker said it has entered into a merger
agreement with healthcare investment firm Patient Square Capital
and will become a private firm
    ** Patient Square to acquire all of the outstanding shares
of Eargo for $2.55 per share in a $53 million all-cash deal,
which is a nearly 52% premium to the last close
     ** EAR's board has approved the transaction and determined
it was in the best interest of its shareholders
    ** The transaction is expected to close in the first quarter
of 2024 
    ** Perella Weinberg Partners LP is acting as financial
advisor
    ** Up to Friday's close, EAR had fallen ~85% YTD

 (Reporting by Khushi Mandowara in Bengaluru)
 ((Khushi.Mandowara@thomsonreuters.com;))