A private equity consortium's takeover bid for Danish vaccine maker Bavarian Nordic is facing a crucial deadline, complicated by a major new European vaccine contract that could bolster the company's standalone value.
The offer from firms including Nordic Capital and Permira expires on Nov. 5.
The buyers have struggled to win shareholder support for the deal, which values Bavarian Nordic at approximately 19 billion Danish Krone.
The consortium previously raised its "best and final" offer to 250 Danish Krone per share and lowered the minimum acceptance threshold to 66 2/3% from 75%.
As of Oct. 21, the offeror had secured undertakings for about 36.1% of shares, and on Friday said it had gained commitments for an additional 4.8% from institutional investors.
On Friday, just days before the deadline, Bavarian Nordic announced a new framework agreement with the European Commission to supply up to 8 million doses of its smallpox and mpox vaccine over four years.
"We are pleased to extend our collaboration with HERA to facilitate broad access to our smallpox and mpox vaccine across the region," said Paul Chaplin, President and CEO of Bavarian Nordic.
The new contract replaces a previous agreement from 2022 and includes an initial commitment for approximately 1.1 million doses, according to the company.
The offeror has received all necessary regulatory approvals, leaving shareholder acceptance as the final condition for the deal.
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Bavarian Nordic's Chair of the Board, Luc Debruyne, has resigned with immediate effect, the Danish vaccine maker announced Thursday, days after a private equity takeover bid for the company collapsed.
A takeover offer for Danish vaccine maker Bavarian Nordic from a private equity consortium led by Nordic Capital and Permira has been withdrawn after failing to gain sufficient shareholder support.
Bavarian Nordic has secured a new long-term contract to supply the European Union with up to 8 million doses of its smallpox and mpox vaccine over the next four years, the company said Friday.