On the 25th of March, 2024, a significant merger agreement was announced between two major players in the pharmaceutical industry, Landos Biopharma, Inc.(LABP) and AbbVie (ABBV). According to the agreement, AbbVie will acquire Landos Biopharma in an intricately structured deal valued at -$34.16 million.
Shareholders of Landos Biopharma will be receiving $20.42 per share in cash plus one non-tradable contingent value right (CVR) per share with a value of up to $11.14 per share, subject to the achievement of a clinical development milestone. This arrangement offers a premium of 160.79%, based on the closing price of Landos Biopharma at 21.36 on March 25, 2024. The premium above the 30-day average trading price offered by AbbVie stands at an impressive 208.46%.