Innoviva Announces Expiration of Cash Tender Offer for Shares of Entasis Therapeutics Holdings Inc.
08 Juli 2022 - 2:35PM
Business Wire
Innoviva, Inc. (Nasdaq: INVA) (“Innoviva”) today announced that
its tender offer to purchase any and all issued and outstanding
shares of common stock of Entasis Therapeutics Holdings Inc.
(Nasdaq: ETTX) (“Entasis”) at a price of $2.20 per share, net to
the seller in cash, without interest and less required withholding
taxes, expired at 5:00 p.m. New York City time on Thursday, July 7,
2022.
The depositary for the tender offer has advised that, as of the
expiration of the tender offer, a total of 11,671,662 shares of
Entasis’ common stock were validly tendered and not withdrawn in
the tender offer. Such shares of Entasis’ common stock, upon
excluding those tendered by Manoussos Perros (the “Entasis CEO”),
represent approximately 60.45% of the shares not beneficially owned
by Innoviva and its subsidiaries or the Entasis CEO, which
satisfied the minimum condition for the tender offer. Innoviva’s
wholly owned subsidiary will accept for payment all shares that
were validly tendered and not withdrawn prior to expiration of the
tender offer, and payment for such shares will be made promptly, in
accordance with the terms of the tender offer.
Innoviva expects the merger to close on July 11, 2022, with
Entasis becoming a wholly owned subsidiary of Innoviva. As a
consequence of the merger, each outstanding share of Entasis’
common stock not tendered and purchased in the offer (other than
those as to which holders properly exercise dissenters’ rights and
those owned at the commencement of the tender offer by Innoviva or
its affiliates) will be converted into the right to receive the
same $2.20 per share, net to the holder in cash, without interest
and less any required withholding taxes, that was offered in the
tender offer. Following completion of the merger, Entasis’ common
stock will cease to be traded on the Nasdaq Global Market.
About Innoviva
Innoviva is a diversified holding company with a portfolio of
royalties and other healthcare assets. Innoviva’s royalty portfolio
includes respiratory assets partnered with Glaxo Group Limited
(“GSK”), including RELVAR®/BREO® ELLIPTA® (fluticasone furoate/
vilanterol, “FF/VI”), ANORO® ELLIPTA® (umeclidinium bromide/
vilanterol, “UMEC/VI”) and TRELEGY® ELLIPTA® (the combination
FF/UMEC/VI). Under the Long-Acting Beta2 Agonist (“LABA”)
Collaboration Agreement, Innoviva is entitled to receive royalties
from GSK on sales of RELVAR®/BREO® ELLIPTA® and ANORO® ELLIPTA®.
Innoviva is also entitled to 15% of royalty payments made by GSK
under its agreements originally entered into with us, and since
assigned to Theravance Respiratory Company, LLC (“TRC”), relating
to TRELEGY® ELLIPTA® and any other product or combination of
products that may be discovered and developed in the future under
the LABA Collaboration Agreement and the Strategic Alliance
Agreement with GSK (referred to herein as the “GSK Agreements”),
which have been assigned to TRC other than RELVAR®/BREO® ELLIPTA®
and ANORO® ELLIPTA®.
ANORO®, RELVAR®, BREO®, TRELEGY® and ELLIPTA® are trademarks of
the GlaxoSmithKline group of companies.
Forward-Looking Statements
This press release contains certain “forward-looking” statements
as that term is defined in the Private Securities Litigation Reform
Act of 1995 regarding, among other things, statements relating to
goals, plans, objectives and future events. Innoviva intends such
forward-looking statements to be covered by the safe harbor
provisions for forward-looking statements contained in Section 21E
of the Securities Exchange Act of 1934 and the Private Securities
Litigation Reform Act of 1995. The words “anticipate”, “expect”,
“goal”, “intend”, “objective”, “opportunity”, “plan”, “potential”,
“target” and similar expressions are intended to identify such
forward-looking statements. Such forward-looking statements involve
substantial risks, uncertainties and assumptions. These statements
are based on the current estimates and assumptions of the
management of Innoviva as of the date of this press release and are
subject to known and unknown risks, uncertainties, changes in
circumstances, assumptions and other factors that may cause the
actual results of Innoviva to be materially different from those
reflected in the forward-looking statements. Important factors that
could cause actual results to differ materially from those
indicated by such forward-looking statements include, among others,
risks related to: expected cost savings; lower than expected future
royalty revenue from respiratory products partnered with GSK; the
commercialization of RELVAR®/BREO® ELLIPTA®, ANORO® ELLIPTA® and
TRELEGY® ELLIPTA® in the jurisdictions in which these products have
been approved; the strategies, plans and objectives of Innoviva
(including Innoviva’s growth strategy and corporate development
initiatives beyond the existing respiratory portfolio); the timing,
manner, and amount of potential capital returns to shareholders;
the status and timing of clinical studies, data analysis and
communication of results; the potential benefits and mechanisms of
action of product candidates; expectations for product candidates
through development and commercialization; the timing of regulatory
approval of product candidates; and projections of revenue,
expenses and other financial items; the impact of the novel
coronavirus (“COVID-19”). Other risks affecting Innoviva are
described under the headings “Risk Factors” and “Management’s
Discussion and Analysis of Financial Condition and Results of
Operations” contained in Innoviva’s Annual Report on Form 10-K for
the year ended December 31, 2021 and Quarterly Reports on Form
10-Q, which are on file with the Securities and Exchange Commission
(“SEC”) and available on the SEC’s website at www.sec.gov. Past
performance is not necessarily indicative of future results. No
forward-looking statements can be guaranteed and actual results may
differ materially from such statements. Given these uncertainties,
you should not place undue reliance on these forward-looking
statements. The information in this press release is provided only
as of the date hereof, and Innoviva assumes no obligation to update
its forward-looking statements on account of new information,
future events or otherwise, except as required by law.
Trademark reference: Innoviva and the Innoviva logo are
registered trademarks or trademarks of Innoviva, Inc. or its
affiliates in the United States and/or other countries. All other
trademarks referenced herein are the property of their respective
owners.
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