UK-based commercialisation firm the IP Group has offered £70m ($116m) in a takeover bid of tech transfer unit Fusion IP.
IP currently holds a 20% equity stake in Fusion. The bid values Fusion at 80.2p per share, at £87m in total, and represents a 27.4% premium on Fusion’s current share price.
Fusion IP currently has exclusive commercialisation rights with the universities of Sheffield and Cardiff, which holds a 10% stake in the firm. It also signed memorandums of understanding with Swansea and Nottingham last year to support the universities’ commercialisation efforts.
Alan Aubery, chief executive of IP Group, said: “Since acquiring an initial stake in Fusion IP in 2009, we have enjoyed an excellent relationship with the team and are delighted to have reached agreement to acquire Fusion IP in full. The acquisition is highly complementary to IP Group’s core business and will give the combined entity greater breadth of coverage, enabling us to access a wider pool of intellectual property as well as improve our service offering to existing and potential research institutions both in the UK and internationally.”
He added: “Both IP Group and Fusion IP have developed strong track records of building outstanding businesses based on intellectual property and we firmly believe that this transaction will enhance value for the shareholders of both organisations.”
