HOOKIPA Pharma ends talks to acquire Poolbeg Pharma

Published 20/02/2025, 22:46
HOOKIPA Pharma ends talks to acquire Poolbeg Pharma

HOOKIPA Pharma Inc. (NASDAQ:HOOK), a biopharmaceutical company, announced today that it has decided not to proceed with the acquisition of Poolbeg Pharma plc. This decision follows a previous announcement on January 2, 2025, regarding the commencement of non-binding discussions between the two companies. According to InvestingPro data, HOOKIPA maintains a strong liquidity position with a current ratio of 3.26, though the company faces challenges with rapid cash burn.

The initial talks were aimed at HOOKIPA acquiring the entire issued share capital of Poolbeg. However, after careful consideration, HOOKIPA’s board of directors concluded that they will not extend an offer for Poolbeg under the U.K. City Code on Takeovers and Mergers Rule 2.7.

The announcement made today, in compliance with Rule 2.8 of the Code, puts an end to the potential transaction discussions. The details of this decision were included in a press release statement attached as Exhibit 99.1 to the 8-K filing with the Securities and Exchange Commission.

HOOKIPA Pharma, incorporated in Delaware and headquartered in New York, is known for its expertise in the pharmaceutical preparations sector, operating under the organization name 03 Life Sciences. The company’s decision to halt the acquisition process marks a significant change in its strategic activities.

The news may be of interest to investors and market watchers who have been following the potential acquisition, as it signifies a shift in HOOKIPA’s corporate strategy. The company’s shares are traded on The Nasdaq Capital Market under the ticker HOOK.

This development is based on a press release statement and does not include any forward-looking statements or implications for future operations of HOOKIPA Pharma or Poolbeg Pharma.

In other recent news, HOOKIPA Pharma Inc. has initiated legal proceedings to confirm stockholder actions from its 2022 and 2023 Annual Meetings. The company filed a petition in the Delaware Court of Chancery to validate decisions made at these meetings, where record dates were set incorrectly. The court has agreed to expedite the proceedings, with a final hearing scheduled for February 14, 2025. In another development, HOOKIPA Pharma is in non-binding talks to potentially acquire Poolbeg Pharma plc, a move that could expand its portfolio. The discussions, subject to the U.K. City Code on Takeovers and Mergers, are ongoing with no definitive agreement yet reached. Additionally, RBC Capital has downgraded HOOKIPA Pharma’s stock from Outperform to Sector Perform, citing a recent restructuring plan that includes significant workforce reductions and a pause in clinical development for its leading program. RBC Capital also reduced the price target for the company’s shares, reflecting challenges in assigning value to its projects at this stage. These developments are crucial for investors monitoring HOOKIPA Pharma’s strategic direction and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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