BRIEF—PureTech Health confirms merger talks with Nektar

UK and USA-based clinical-stage biotech PureTech Health’s shares fell 17% to 213.50 pence in London on Friday morning, after the company confirmed that it has “exchanged indicative, non-binding proposals” with Nektar Therapeutics regarding a possible combination, which may include, amongst other things, an offer for PureTech's share capital.

The statement was made following various press reports on the matter.

There can be no certainty that any firm offer will be made, nor as to the terms of any such offer, and a further announcement will be made as and when appropriate, said PureTech.

In accordance with Rule 2.6(a) of the Code, Nektar will be required, by not later than November 3, 2022, either to announce a firm intention to make an offer for the company in accordance with Rule 2.7 of the Code or to announce that it does not intend to make an offer, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies.

This deadline may be extended with the consent of the Takeover Panel in accordance with Rule 2.6(c) of the Code.

PureTech's revenue in the first half of 2022 stood at $7.0 million, up 21% from $5.8 million in the like, year-earlier period, while Nektar's half-year 2022 revenue was $46.4 million, down 11% from $52.0 million.