Cycle Group to Acquire Applied Therapeutics for $8.8 Million

Applied Therapeutics, Inc. (APLT) entered a merger agreement on December 11, 2025, to be acquired by Cycle Group Holdings Limited for $8.8 million.

Deal Structure:

Cycle will commence a tender offer to acquire all of the outstanding shares of Applied common stock at a per-share price of $0.088 in cash, plus one non-transferable contingent value right (CVR) that entitles the holder to receive potential additional payments.

The CVR provides payments based on the following:

• Up to $0.1 per CVR in cash payable upon FDA approval of a new drug application for any galactosemia indication before the eighth anniversary of closing.
• Up to $0.1 per CVR in cash payable upon FDA approval of a new drug application for the CMT-SORD indication before the eighth anniversary of closing.
• Up to $0.2 per CVR in cash payable upon the first achievement of worldwide net sales of any product covered by the CVR by Cycle equal to or exceeding $200 million in any four-quarter fiscal period before the tenth anniversary of closing.
• Each CVR holder will also be entitled to receive their pro rata share of any cash of Applied in excess of $500,000 at closing (capped at $1.5 million) (Closing Cash Payment).

The cash payment of $0.088 represents a 60% discount to the stock’s last close.

Company Profile:

Applied Therapeutics is a clinical-stage biopharmaceutical company developing novel, targeted therapies for rare metabolic and cardiovascular diseases, with a pipeline that includes the CNS-penetrant ARI govorestat (AT-007) and additional candidates for conditions such as diabetic cardiomyopathy, neuropathy, and rare genetic disorders.

Cycle is a biopharmaceutical company focused on delivering treatments and support for underserved rare diseases, including metabolic, immunology, urology, oncology, and neurological conditions such as multiple sclerosis. Founded in 2012, the company is headquartered in Cambridge, UK, with additional offices in Detroit, Michigan.

Deal Details and Timeline:

Applied’s lead drug candidate, govorestat, is a novel, CNS-penetrant aldose reductase inhibitor (ARI) being developed for the treatment of rare central nervous system metabolic disorders, including Classic Galactosemia, Charcot-Marie-Tooth Sorbitol Dehydrogenase Deficiency (CMT-SORD), and phosphomannomutase 2 congenital disorder of glycosylation (PMM2-CDG).

The deal is expected to close in the first quarter of 2026.

Applied also issued a promissory note to Cycle. This unsecured note allows Cycle to lend Applied up to $8.5 million to help cover Applied’s approved working-capital expenses.

Ropes & Gray served as legal counsel to Applied Therapeutics, and Goodwin Procter advised Cycle Group.

Deal Metrics:

For those interested in delving deeper into the specifics of this merger and acquisition transaction, please visit the Deal Metrics page here: Deal Metrics for the acquisition of Applied Therapeutics, Inc. (APLT) by Cycle Group Holdings Limited

The Deal Metrics page for each merger or acquisition includes:

• A spread history chart of the merger from announcement through eventual completion or failure.
• Every event as the merger progresses through the expiration of the HSR period, various regulatory approvals, shareholder votes, etc.
• News and SEC filings.
• A history of deal updates.
• And a whole lot more.

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Editor’s Note: Baranjot Kaur contributed to this article