Pharming makes bid for Abliva
The Swedish biotech company Abliva has received a public cash offer from Pharming Technologies to acquire all shares in Abliva. The offer includes a cash compensation of SEK 0.45 per share, representing a premium of 227 percent compared to Abliva’s most recent closing price. The total valuation of the deal is approximately SEK 725 million.
Abliva focuses on developing treatments that enhance mitochondrial function. The company’s most advanced drug candidate, KL1333, is currently undergoing the phase II FALCON trial, where it is being evaluated as a treatment for mitochondrial diseases associated with mutations in mitochondrial DNA (mtDNA). The trial targets adult patients suffering from severe fatigue and muscle weakness, which significantly affect their quality of life.
Public cash offer
On the evening of Sunday, December 15, Pharming Technologies, a wholly owned subsidiary of Pharming Group, announced a public cash offer to Abliva’s shareholders. The offer includes a cash compensation of SEK 0.45 per share, representing a premium of 227 percent compared to Abliva’s most recent closing price and a total valuation of approximately SEK 725 million.
Abliva’s board recommends the offer
After a thorough evaluation, including analysis of the company’s financial position, future development opportunities, and risks, Abliva’s board of directors has unanimously decided to recommend the shareholders to accept the offer. The board also considered the significant premium, as well as the fact that the offer is financed through Pharming Group’s own liquid assets, thereby eliminating risks related to financing conditions.
Three of Abliva’s largest shareholders (Hadean Ventures, Oslo Pensjonsforsikring AS, and IP Group Plc), who together control just under 50 percent of the company, have already committed to accepting the offer.
Implications of the offer – an opportunity for expansion
If the offer is accepted, Abliva will have the opportunity to become part of a larger and financially stronger group. The board believes that the deal would create new opportunities to scale up research and reach the market more quickly by combining Abliva’s expertise in mitochondrial diseases with Pharming’s global resources. Pharming’s bid signals not only financial support but also a shared commitment to improving the lives of patients suffering from severe energy metabolic disorders—an area where approved treatments are still lacking.
The acceptance period for the offer begins on January 16, 2025, and ends on February 7, with the possibility of an extension.
