Nestle Health Science to Acquire Aimmune Therapeutics at $2.6 Billion Valuation
August 31 2020 - 2:16AM
Dow Jones News
By Olivia Bugault
Nestle SA said Monday that it has entered into a definitive
agreement for the acquisition of U.S.-based biopharmaceutical
company Aimmune Therapeutics Inc. by its subsidiary Nestle Health
Science, or NHSc.
Nestle will launch a cash tender offer for the acquisition of
all Aimmune's outstanding shares not already owned by Nestle Health
Science for a price of $34.50 per share, the Swiss food and
beverage giant said. Including the roughly 25.6% equity stake that
NHSc already owns in Aimmune, it represents a total enterprise
value of $2.6 billion, Nestle said.
"The $34.50 per share acquisition price represents a 174%
premium to Aimmune's closing share price on Aug. 28, 2020 of
$12.60," it said.
The deal--which is expected to close in the fourth quarter of
this year and financed by cash on hand--will be accretive to
Nestle's organic growth in 2021 and add to cash earnings by
2022/2023, Nestle said.
"Aimmune's Palforzia is the first and only FDA-approved
treatment to help reduce the frequency and severity of allergic
reaction to peanuts, including anaphylaxis, in children aged 4
through 17," Nestle said, adding that "the acquisition is an
extension of NHSc's food allergy portfolio, creating a broader
spectrum of solutions for children living with food allergies."
Write to Olivia Bugault at olivia.bugault@wsj.com
(END) Dow Jones Newswires
August 31, 2020 02:01 ET (06:01 GMT)
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