LONDON: Solvonis Therapeutics plc announced Monday it has entered into an arrangement agreement to acquire Awakn Life Sciences Corp. The acquisition involves all issued and outstanding common shares, restricted share units, and deferred share units of Awakn.
Solvonis will issue approximately 2.07 billion new ordinary shares as consideration, valuing Awakn at around £4.98 million (CAN$8.89 million) based on the December 13 closing price.
In its unaudited results for the nine months ending September 30, 2024, Solvonis said the acquisition requires approvals from the Supreme Court of British Columbia, Awakn shareholders, and Canadian Securities Exchange. The company’s CEO, Anthony Tennyson, also serves as CEO of Awakn, holding a 4.85% share in Awakn.
The acquisition, expected to complete in Q2 2025, will be decided at the Awakn security holders meeting, where a 66 2/3% approval is needed. Dennis Purcell, non-executive chairman of Solvonis, holds Awakn warrants, which will be exchanged post-acquisition. Further details on the transaction and meeting will be announced by Awakn.
This acquisition aims to leverage complementary expertise in addiction and mental health therapeutics, strengthening the enlarged group’s position in the UK biotechnology sector.