Setterwalls has assisted SynAct Pharma in connection with the acquisition of TXP Pharma and private placement

Setterwalls has assisted SynAct Pharma AB (“SynAct”) in connection with the acquisition of the Swiss-incorporated biotech company TXP Pharma AG (“TXP”). In connection with the acquisition, SynAct has also carried out a directed share issue of SEK 80 million to two reputable investors.

The acquisition encompasses all shares in TXP, a biotech company that researches and develops drugs that are intended to be used for the treatment of auto-immune and inflammatory diseases through stimulation (agonist) of melanocortin receptors. The purchase price consisted of a fixed purchase price of approximately SEK 136 million. Thereto, SynAct may issue an additional purchase price in the form of a one-time amount of SEK 55 million provided that certain conditions are met. The fixed purchase price has been paid through an issue in kind of new issued shares in SynAct, corresponding to the value of the fixed purchase price of approximately SEK 136 million.

In connection with the acquisition of TXP, SynAct has also carried out a private placement to two reputable investors in the form of companies controlled by Thomas von Koch and Christian Kinch. Through the private placement, SynAct will receive SEK 80 million before issue costs. The net proceeds are intended to be used to finance the development of assets acquired from TXP, further strengthen the development activities related to AP1189, and general corporate purposes, extending the runway through to mid-2024.

SynAct is a clinical-stage biotech company focused on solving inflammation using the biology of melanocortin. SynAct is based in Lund and is listed on Nasdaq Stockholm.