Syncona (SYNC) has announced a tender offer to acquire all outstanding shares of Applied Genetic Technologies Corporation (AGTC), for $0.34 per share, valuing AGTC at approximately $23.5m (£20.8m). There is also the potential for up to an additional $50.0m (up to $0.73 per share) in contingent value rights in the event certain milestones related to transactions involving AGTC’s assets and regulatory and commercial milestones related to AGTC’s products are achieved. This acquisition, if completed, represents an approximately 42% premium to the AGTC closing share price on 21 October 2022.
AGTC is a clinical-stage biotechnology company focused on the development and commercialisation of adeno-associated virus-based gene therapies for the treatment of rare and debilitating diseases with an initial focus on inherited retinal diseases. The acquisition of AGTC will further enhance SYNC’s gene therapy portfolio and represents an opportunity for SYNC to apply its expertise in retinal gene therapy to support AGTC’s lead candidate, AGTC-501 (laruparetigene zosaparvovec), targeting X-linked retinitis pigmentosa (XLRP), through late-stage clinical development. XLRP is a genetic eye disease that causes progressive vision loss and ultimately blindness in men for which there is currently no known treatment. AGTC-501 recently completed a Phase II follow-on study which demonstrated significant visual sensitivity improvements and a favourable safety profile.