Xeris Pharmaceuticals Inc (NASDAQ:XERS) stock continued to trade higher last week with a jump of 17%. The stock has soared 54% over the past month.
XERIS PHARMACEUTICALS, INC. TO ACQUIRE STRONGBRIDGE BIOPHARMA PLC IN STOCK AND CVR TRANSACTION, CREATING AN INNOVATIVE LEADER IN ENDOCRINOLOGY AND RARE DISEASES
- Xeris Pharmaceuticals announced that they have entered into a definitive agreement under which Xeris will acquire Strongbridge for stock and contingent value rights (“CVRs”). The agreement, including the maximum aggregate amount payable under the CVRs, values Strongbridge at approximately $267 million based on the closing price of Xeris common stock of $3.47 on May 21, 2021 and Strongbridge’s fully diluted share capital.
- The transaction, which has been unanimously approved by the boards of directors of both companies, with the exception of Jeffrey W. Sherman, M.D., a director in common to both companies, who abstained from the voting, is expected to close early in the fourth quarter of 2021, subject to the satisfaction of closing conditions.
- Upon close of the transaction, the businesses of Xeris and Strongbridge will be combined under a new entity to be called Xeris Biopharma Holdings, Inc. (“Xeris Biopharma Holdings”).
- Under the terms of the agreement at closing, Strongbridge shareholders will receive a fixed exchange ratio of 0.7840 shares of Xeris Biopharma Holdings common stock for each Strongbridge ordinary share they own. Based on the closing price of Xeris common stock on May 21, 2021, this represents approximately $2.72 per Strongbridge ordinary share and a 12.9% premium to the closing price of Strongbridge ordinary shares on May 21, 2021.
On Friday, XERS stock gained 11% to $4.81 with more than 16.09 billion shares, compared to its average volume of 3.05 million shares. The stock has moved within a range of $4.3700 – 4.9800 after opening the trade at $4.37. Over the past 52-week, the stock has been trading within a range of $2.4500 – 7.9400.