China's Creat Group offers to buy German blood plasma products maker Biotest for $1.3 bn
31 March 2017
Chinese investment company Creat Group Corp today said that it has offered to buy German blood plasma products maker Biotest AG for about €1.2 billion ($1.3 billion) including debt.
The move comes a few months after Creat Group acquired Britain's Bio Products Laboratory from private equity firm Bain Capital for $1.02 billion (£820 million).
Creat has offered to pay Biotest shareholders €28.50 for each ordinary share, a 43-per cent premium to the company's closing price on Wednesday.
However, owners of preference shares without voting rights would be offered only €19 per share, a slight discount to Wednesday's €19.02 close.
Biotest's share capital is 50 per cent ordinary and 50 per cent preference shares, and OGEL GmbH, the investment vehicle of late founder Hans Schleussner's family, holds a little more than half of Biotest's ordinary shares with voting rights.
Biotest said it is in final talks with Creat Group and a deal would be subject to an agreement with Biotest 's majority shareholder OGEL.
''Any potential transaction is still subject to final negotiations of a business combination agreement and an agreement with Biotest Aktiengesellschaft's majority shareholder, OGEL GmbH, as well as finalization of due diligence and the required financing measures,'' Biotest said in a statement.
There can be no assurance that a final agreement between the two parties will be reached or that any such offer will be made,'' the statement added.
Dreieich, Germany-based Biotest is a provider of plasma proteins and biological drugs and has specialised primarily in the areas of clinical immunology, haematology and intensive medicine.
The SDAX on the Frankfurt stock exchange-listed company develops and markets immunoglobulins, coagulation factors and albumins based on human blood plasma. These are used for diseases of the immune and haematopoietic systems.
Biotest also develops monoclonal antibodies in the indications of cancer of plasma cells and systemic lupus erythematosus which are produced by recombinant technologies.