In a move within the biopharmaceutical industry, Roche has announced a definitive merger agreement to acquire Poseida Therapeutics. Poseida is known for its work in developing donor-derived CAR-T cell therapies, which are at the clinical stage.
Under the terms of the agreement, Roche will initiate a tender offer to purchase all outstanding shares of Poseida common stock. Shareholders of Poseida will receive $9.00 per share in cash upon the closing of the transaction. Additionally, they will be entitled to a non-tradeable contingent value right (CVR), which allows for potential milestone payments that could total up to $4.00 per share in cash.
The initial cash payment values Poseida’s equity at approximately $1.0 billion. When including the potential milestone payments, the total value of the deal could reach up to $1.5 billion.
The merger agreement has received unanimous approval from the boards of directors of both Roche and Poseida. This acquisition is poised to enhance Roche’s portfolio in the area of cell therapies, a field that is rapidly advancing and holds promise for treating various diseases.
The tender offer will provide Poseida’s shareholders with an immediate and certain cash value, while the CVR component of the agreement aligns the interests of both companies towards achieving future developmental milestones.
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