DJ Financial update on Harpoon Therapeutics acquisition by Merck (MSD)
Arix Bioscience PLC (ARIX)
Financial update on Harpoon Therapeutics acquisition by Merck (MSD)
19-Jan-2024 / 07:01 GMT/BST
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Arix Bioscience plc
Financial update on Harpoon Therapeutics acquisition by Merck (MSD)
LONDON, 19 January 2024: Arix Bioscience plc ("Arix" or the "Company") (LSE: ARIX), a global venture capital company
focused on investing in breakthrough biotechnology companies, provides a financial update on its expected returns from
the Harpoon Therapeutics (NASDAQ: HARP) ("Harpoon") acquisition by Merck (NYSE: MRK) following the announcement that
Merck (known as MSD outside the United States and Canada), through a subsidiary, agreed to acquire Harpoon for USD23.00
per share in cash for an approximate total equity value of USD680 million.
The sale of Harpoon is expected to deliver net proceeds to Arix of approximately USD18.9 million (GBP14.9 million [1]).
This equates to a GBP10.9 million (8p per share) increase in Arix's GBP4 million prior holding value of its Harpoon
interests and, when combined with prior realisations of GBP12.5 million, represents an overall return of 1.2x on the
GBP23.3 million total capital invested in Harpoon since Arix first invested. [2]
Peregrine Moncreiffe, Chairman of Arix, commented: "Arix has been an investor in Harpoon Therapeutics since 2017, and
it is great to see a company that we have been a part of since the early stages move through the clinic and receive
recognition for the platform they have worked hard to develop. This acquisition by Merck provides significant potential
for bringing life-saving treatment to cancer patients as they enhance their oncology pipeline. In what has been a
difficult time across the biotech sector we see this M&A activity as a further sign of market recovery."
The transaction is expected to close in the first half of 2024.
[1] At prevailing GBP/USD FX rate on 18 January 2024. Based on USD23 per share for Arix's public shareholding, net USD13
per share for Arix's warrant shares and USD3,500 per Series A Preferred share, plus accrued interest at 8%
[2] GBP4.0 million valuation at 30 June 2023, as reported at interim results 2023, for listed and Series A Preferred
shares
[ENDS]
Enquiries
For more information on Arix, please contact:
Arix Bioscience plc
+44 (0)20 7290 1050
ir@arixbioscience.com
Powerscourt Group
Sarah MacLeod, Nick Johnson, Molly Ring
+44 (0)20 7250 1446
arix@powerscourt-group.com
About Arix Bioscience plc
Arix Bioscience plc is a global venture capital company focused on investing in breakthrough biotechnology companies
around cutting-edge advances in life sciences.
We collaborate with exceptional entrepreneurs and provide the capital, expertise, and global networks to help
accelerate their ideas into important new treatments for patients. As a listed company, we are able to bring this
exciting growth phase of our industry to a broader range of investors. www.arixbioscience.com
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The issuer is solely responsible for the content of this announcement.
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ISIN: GB00BD045071
Category Code: PFU
TIDM: ARIX
LEI Code: 213800OVT3AHQCXNIX43
OAM Categories: 3.1. Additional regulated information required to be disclosed under the laws of a Member State
Sequence No.: 298385
EQS News ID: 1818409
End of Announcement EQS News Service
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(END) Dow Jones Newswires
January 19, 2024 02:01 ET (07:01 GMT)
