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Oxford Biomedica Shares Soar on Swedish Investment Talks
15 Jan
Summary
- Oxford Biomedica is in talks with EQT for a potential cash offer.
- Shares hit highest level since 2022 amid takeover speculation.
- EQT has until February 11 to make a firm offer for the company.
Oxford Biomedica Plc has entered into preliminary discussions with Swedish investment firm EQT concerning a potential cash acquisition. The company disclosed these negotiations following unsolicited proposals from EQT that its board had previously declined. This development has sent Oxford Biomedica's shares soaring, reaching their highest point since 2022 in early London trading.
EQT has been granted a deadline of February 11 to submit a firm offer. While an agreement is not assured, the prospect of a takeover has significantly impacted the company's market valuation. Oxford Biomedica, known for its past role in producing the AstraZeneca Covid-19 vaccine, focuses on viral vector manufacturing for cell and gene therapies.
Despite some later loss of momentum, the company has expanded its US presence, including manufacturing facilities established in 2022, and was readmitted to the UK's FTSE 250 Index last year. The current discussions represent a significant potential transition for the University of Oxford spin-out, which has a market value nearing £971 million ($1.3 billion).
