- Shockwave Medical (NVCN) signs agreement to acquire Neovasc
- Neovasc shareholders will receive US$27.25 per common share in cash upfront when the transaction is completed
- There is an enterprise value of around US$100 million, in addition to deferred payments of up to around US$47 million
- There is a premium of 27 per cent and 68 per cent to the closing price
- The board of Neovasc has evaluated the agreement with all management, legal and financial advisors and has unanimously approved the transaction
- Neovasc (NVCN) is up over 32 per cent, trading at C$36.86 at 1:52 pm EST
Shockwave Medical has signed an agreement to acquire all the issued and outstanding common shares of Neovasc (NVCN).
Under the terms of the agreement, Neovasc shareholders will receive US$27.25 for every common share in cash.
The upfront cash consideration represents a premium of 27 per cent and 68 per cent to the closing price and 30-day volume-weighted average price, respectively, of Neovasc’s common shares on the Nasdaq Capital Market on January 13, 2023.
There is an enterprise value of around US$100 million, in addition to deferred payments of approximately US$47 million on the achievement of future regulatory milestones in the form of a contingent value right per common share.
“Today’s announcement is good news for our stakeholders and the Reducer program,” said Fred Colen, Neovasc’s President and Chief Executive Officer.
“The team at Shockwave has demonstrated an extraordinary ability to scale novel technologies and build value for patients, customers and investors, and we are thrilled to become a part of their organization,” concluded Colen.
The board of Neovasc has evaluated the agreement with all management, legal and financial advisors and has unanimously approved the transaction.
The company’s shareholders have voted in favour of the transaction.
Neovasc is a specialty medical device company that develops, manufactures, and markets products for the rapidly growing cardiovascular marketplace.
Neovasc (NVCN) is up over 32 per cent, trading at C$36.86 at 1:52 pm EST.