The Swiss drug maker has also declared its offer for the UK biopharmaceutical company unconditional in all respects. This will allow for the delisting of NeuTec’s shares and complete the acquisition.
The NeuTec board of directors unanimously recommended a cash offer announced on June 7, 2006 for Novartis to acquire the company for GBP10.50 per share, which values NeuTec at approximately GBP305 million ($569 million).
NeuTec will expand the access of Novartis to the dynamic hospital segment of the worldwide anti-infectives market through Mycograb, which is for the treatment of fungal infections, and Aurograb, which is for serious bacterial infections.
NeuTec Pharma specializes in the development of genetically recombinant antibodies, or ‘grabs,’ for the treatment of life-threatening infections. The development of NeuTec’s products is based on identifying naturally occurring potentially protective antibodies from patients who have recovered from bacterial or fungal infections and using these to generate recombinant antibodies to treat these infections. As a result, NeuTec believes these compounds to be intrinsically safer than antibiotics.