Dechra Pharmaceuticals has agreed to conditionally acquire the entire issued share capital of Eurovet Animal Health, a vetinary pharmaceuticals business.
The business will be purchased for €135m (around £112.5m) on a debt-free, cash-free basis.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The rights issue will be made on the basis of the new ordinary shares for every existing 10 ordinary shares at a price of 300p per share, representing a discount of 29.6% to the theoretical ex-rights price of 426.15p.
Dechra's Group Chief Executive, Ian Page said: "This is a great opportunity to build on the strong foundation we have created for our pharmaceuticals business, Dechra Veterinary Products. The combined management teams are very excited by the prospects the enlarged group will create.
"By bringing Eurovet to the group we will strengthen our European presence; will increase our product portfolio; improve our manufacturing capabilities and strengthen our management team. Furthermore, the acquisition accelerates our strategic objectives."
For the year ended December 31st, Eurovet's sales were €76.8m (about £64.0m).
The share price 8.41% to 503.00p.
NR
-
Millions at risk of 'unnecessary' tax bill – how to shield your savingsMillions of Brits could be taxed on their savings interest this year as their savings interest exceeds the personal savings allowance. Are you at risk?
-
Savers will have to wait as long as 48 years to build a £1m cash ISA pot if allowance is cutChancellor Rachel Reeves is rumoured to be planning a cut to the cash ISA allowance in the Autumn Budget, making it harder for savers to build wealth. Will you still be able to build a £1 million cash ISA pot?
