ResApp Health (ASX:RAP) - Managing Director & CEO, Dr Tony Keating
Managing Director & CEO, Dr Tony Keating
Source: ResApp Health
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  • Pharmaceutical and biotech company Pfizer Australia offers to buy ResApp Health (RAP) for $100 million
  • Under the proposal, Pfizer has proposed to acquire ResApp for 11.5 cents per share cash
  • The offer price represents a 27.8 per cent premium to the stock’s closing price of nine cents per share on April 8
  • ResApp shareholders will have the chance to vote on the deal in June, with ResApp directors unanimously recommending its shareholders vote in favour of the scheme of arrangement
  • RAP shares jump 25 per cent to 11.3 cents

ResApp Health (RAP) shares rose after the company announced its board had unanimously recommended a $100 million cash takeover offer received from Pfizer Australia.

Pfizer Australia Holdings is a wholly-owned subsidiary of global biopharmaceutical company Pfizer Inc.

ResApp and Pfizer have signed a binding scheme implementation deed.

Under the proposed takeover, Pfizer has offered to acquire ResApp for 11.5 cents per share cash, representing a total equity value of about $100 million.

The offer price represents a 27.8 per cent premium to the stock’s closing price of nine cents per share on April 8.

ResApp shareholders will have the chance to vote on the takeover deal held at a meeting in mid-June.

The company’s directors have unanimously recommended its shareholders vote in favour of the scheme of arrangement and intend voting shares in their control in favour of the scheme.

The scheme is subject to certain regulatory approvals including from the Australian Competition and Consumer Commission (ACCC).

“We are excited by the prospect of this acquisition by Pfizer, a leading biopharmaceutical company that shares our vision and belief that technology can help transform health care and improve patients’ lives,” ResApp Managing Director and CEO Dr Tony Keating said.

“The proposed acquisition recognises the years of dedicated work by the ResApp team to build ResApp into a leader in audio-based analysis of respiratory health. We believe that the material premium and certainty of an all-cash consideration is an attractive outcome for our shareholders.”

Pfizer’s Chief Digital and Technology Officer Lidia Fonseca said the proposed purchase and research collaboration would add to the company’s “growing digital capabilities”.

RAP shares jumped 25 per cent to 11.3 cents at 12:23 pm AEST.

RAP by the numbers
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