Australia's Cellmid gains most in near 1-1/2 years on BLC Cosmetics buy

Schoolblazer

16/09/2021 02:11

** Shares of Cellmid Ltd  CDY.AX  jump as much as 43.14% to
A$0.073 - their biggest intraday pct gain since March 2020
    ** Stock hits highest since April 20 before paring gains to
trade at A$0.06
    ** Health and beauty-tech co buys https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02422101-2A1323701?access_token=83ff96335c2d45a094df02a206a39ff4
 BLC Cosmetics, a unit of Australia-based investment firm HGL
Ltd  HNG.AX , in a cash-and-stock deal for A$3 mln ($2.20 mln)
to expand its anti-ageing products market
    ** A$1 mln to be paid in cash and A$2 mln to be paid by
offering 32.8 mln CDY shares at 6.1 Australian cents per share,
which represents a premium of 19.6% to CDY's last close on
Wednesday
    ** HNG may also get earn-out based on incremental earnings
in FY22
    ** CDY says combined co to have about A$15 mln pro-forma
FY21 revenue and incur cost savings due to synergistic
distribution channels
    ** About 4.9 mln shares change hands, about 34x 30-day avg
in CDY's busiest trading day since April 2020
    ** CDY down 50% so far this year and HNG up 35.14%, as of
last close 
    



($1 = 1.3628 Australian dollars)

 (Reporting by Dhriti Garg in Bengaluru)
 ((Dhriti.Garg@thomsonreuters.com))