Pharma group in takeover talks with niche drugmaker

Pharmaceuticals group Clinigen has confirmed that it is in talks regarding the possible takeover of rival firm, Quantum Pharma.

County Durham-based Quantum issued a statement yesterday telling its shareholders it had received a proposal for a cash and shares offer, but, according to reports, said the proposal was non-binding, with “no certainty that an offer will be made.”

In a statement of its own this morning, Burton-upon-Trent-based Clinigen said: “The board of Clinigen notes the announcement released by Quantum Pharma and confirms that it has submitted an indicative proposal regarding a possible offer to be satisfied through a combination of new ordinary shares in Clinigen and cash.

“The board emphasises that the proposal is non-binding and is subject to material preconditions including customary due diligence. As a result, it is emphasised that there can be no certainty that an offer will be made for Quantum Pharma, nor as to the terms on which any offer may be made.”

Clinigen has until 5pm on September 13 to make an offer or to clarify it will not pursue the matter.

This deadline can only be extended with the consent of the Takeover Panel.

Last month, Clinigen said its profits are expected to rise by 22% for the year-ending June 30.