Knight Therapeutics to purchase Biotoscana in $281 mln deal (updated)

Knight Therapeutics

21/10/2019 15:59

(Adds deal details, context)
    SAO PAULO, Oct 21 (Reuters) - Knight Therapeutics  GUD.TO 
will buy Brazilian pharmaceutical company Biotoscana Investments
 GBIO33.SA  in a deal valued at 1.16 billion reais ($281
million) that will create a pharmaceutical platform in fast
growing markets in Latin America.
    In a securities filing on Monday, Knight said it will
acquire a 51% interest in Biotoscana for 596 million reais ($144
million) from controlling shareholders Advent International and
Essex Woodlands.
    The Canadian company will pay 10.26 reais per share, with an
implied 22% premium over 30-day average price of Biotoscana
shares. 
    Knight will launch a mandatory tender offer to acquire the
remaining 49% from public shareholders in similar terms.
    Shares  of Knight rose 5 percent in Toronto trading, while
those of Biotoscana were up 5.4% at 10.26 reais in mid-morning
trading in Sao Paulo. 
    Knight Chief Executive Jonathan Ross Goodman said in a
statement the "transformational deal," with Biotoscana's focus
on oncology and onco-hematology. The combined company will
operate in 10 countries in the region, the statement said.
   Talks between Biotoscana's shareholders and Knight
Therapeutics were reported earlier this month.  urn:newsml:reuters.com:*:nL2N26S0ID



($1 = 4.1330 reais)

 (Reporting by Tatiana Bautzer; editing by David Evans and Steve
Orlofsky)
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