Nestle to take full ownership of Aimmune for $2.6 billion

1 September 2020

Shares of USA-based biotech Aimmune Therapeutics (Nasdaq: AIMT) rocketed up more than 170% to $34.22 yesterday after it was revealed that Swiss foods giant Nestle (NESN: VX) has reached agreement to acquire full control of the peanut allergy treatment developer.

Under the terms of the merger agreement, Nestle's wholly-owned subsidiary, Société des Produits Nestlé (SPN), will commence a cash tender offer to acquire all outstanding common shares of Aimmune that are not already owned by Nestle Health Sciences (NHSc) for $34.50/share in cash (174% premium to closing price of $12.60 as on August 28), representing a total enterprise value of ~2.6 billion. The transaction is expected to close in the fourth-quarter of this year.

NHSc currently has a total investment of $473 million in Aimmune, an around 25.6% equity ownership stake. Initial investment of $145 million was made in November 2016, followed by further investments of $30 million in February 2018, $98 million in November 2018 and $200 million in January 2020.

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