Prime Highlights
- Samsung Biologics will acquire PolyPeptide in an all-cash deal worth about $1.81 billion at a 6.1% premium.
- Majority shareholder Draupnir Holding, owning 55.65% of PolyPeptide, has agreed to tender all its shares.
Key Facts
- Samsung Biologics is a South Korean contract drug manufacturer expanding into peptide-based therapeutics.
- The deal will make PolyPeptide a wholly owned unit of Samsung Biologics, delisting it from the SIX Swiss Exchange.
Background
South Korea’s Samsung Biologics will launch an all-cash bid worth 1.46 billion Swiss francs, around $1.81 billion, to acquire Swiss contract drugmaker PolyPeptide, the companies announced in separate statements.
The offer stands at 44.31 Swiss francs per share, representing a premium of about 6.1% over PolyPeptide’s last closing price of 41.75 Swiss francs. Samsung Biologics said the tender offer is expected to launch by the end of next month and close by the end of the year.
The South Korean firm said the acquisition would strengthen its capabilities in peptide-based therapeutics, particularly fast-growing treatment areas such as obesity and diabetes drugs, including GLP-1 medicines. PolyPeptide’s board unanimously recommended that shareholders accept the offer.
Once the deal is completed, Samsung Biologics said it intends to pursue a squeeze-out of any remaining minority shareholders and delist PolyPeptide from the SIX Swiss Exchange, making it a wholly owned subsidiary.
PolyPeptide’s largest individual shareholder, Draupnir Holding, which holds about 55.65% of the company, has backed the deal and confirmed it would tender all its shares into the offer. Earlier this year, PolyPeptide had said Draupnir was reviewing strategic options concerning its majority stake in the company.
Draupnir’s parent entity is the Cryosphere Foundation, which PolyPeptide has previously said has links to Swedish billionaire Frederik Paulsen.
