Novartis Commences Cash Tender Offer To Buy Advanced Accelerator Applications

(RTTNews) - Swiss drug major Novartis AG (NVS) announced Thursday that its subsidiary, Novartis Groupe France S.A. has commenced a cash tender offer to purchase Advanced Accelerator Applications (AAAP) for a price of $41 per Ordinary Share and $82 per ADS.

The offer is being made upon the terms and subject to the conditions set forth in the Offer to Purchase, dated December 7.

The offer will expire at 12:00 midnight, New York City time, on January 19, 2018, unless extended.

The offer is pursuant to the terms of the previously announced Memorandum of Understanding, dated as of October 28, between both companies. This offer valued AAA's equity at $3.9 billion.

AAA is a radiopharmaceutical company that develops, produces and commercializes Molecular Nuclear Medicines including Lutathera ((177)Lu-DOTATATE), a first-in-class RLT product for neuroendocrine tumors or NETs.

Novartis expects the acquisition to strengthen its oncology presence with both near-term product launches as well as a new technology platform with potential applications across a number of oncology early development programs.