Alliance Pharma (APH) Bid

“The boards of directors of Aegros Bidco Limited ("Bidco") and Alliance Pharma plc ("Alliance") are pleased to announce that they have reached agreement on the terms and conditions of a recommended acquisition by Bidco for the entire issued and to be issued ordinary share capital of Alliance (other than the Alliance Shares held by funds advised or managed by DBAY Advisors Limited ("DBAY")) (the "Acquisition"). The Acquisition is intended to be implemented by means of a Court-sanctioned scheme of arrangement under Part 26 of the Companies Act.

Under the terms of the Acquisition, each Scheme Shareholder will be entitled to receive: for each Scheme Share: 62.5 pence in cash (the "Cash Offer")”

This offer represents a 40.1% premium to the closing price on 9th January 2025, and yet again, the deal is priced at the consensus analysts’ fair value.

Alliance Pharma Plc – Analysts’ Fair Value

Source: Bloomberg

I covered APH on 28^th June 2024 when the price was 38.1p. With the bid at 62.5p per share and the current price at 61.2p, there is little reason to hold from here, as the takeover has been accepted by the board.

Action

Sell Alliance Pharma (APH).