LONDON, UK: Avacta Group plc (AIM: AVCT), a clinical stage oncology drug company, introduced that Vimian Group AB (Vimian.ST) has acquired the veterinary division of Avacta Group, Avacta Animal Health.
Avacta has received an upfront payment of £0.9 million and can obtain additional deferred consideration of as much as £1.4 million depending on the mixed efficiency of the consolidated business.
Avacta Animal Health provides veterinary allergy diagnostic options through its laboratory in Wetherby, UK and re-sells immunotherapy merchandise from Nextmune, a Vimian Group company, to veterinary clinics throughout the UK. The enterprise additionally provides testing kits to veterinary laboratories throughout Europe.
Avacta Animal Health Limited will be acquired by Nextmune Holdings BV and can be consolidated into Vimian’s Specialty Pharma segment on 15 March, 2022.
The Animal Health Division had made an working loss (prior to an impairment of historic goodwill) of £0.3 million throughout the year ended 31 December 2020. The carrying worth of the Division as at 31 December 2020 was £1.0 million. The sale proceeds will present additional funds for the event of the Group’s Diagnostics and Therapeutics Divisions.
Dr Alastair Smith, Chief Executive Officer of Avacta Group, commented: “The sale of the Avacta Animal Health enterprise permits the Group to focus entirely on rising its core businesses; diagnostics and therapeutics. Having had our Animal Health division since 2009, we’re delighted that Vimian will be retaining the entire Avacta Animal Health team and are well positioned to develop the business.”
Magnus Kjellberg, CEO of Vimian’s Specialty Pharma segment Nextmune, commented: “This acquisition considerably strengthens Nextmune’s aggressive place within the UK. With our personal laboratory for veterinary allergy diagnostics within the nation and a full-service providing covering all veterinary dermatology needs, we see significant alternatives to speed up gross sales and enhance buyer expertise within the UK. The cross-selling alternatives via this enterprise existing buyer base in addition to the elevated laboratory capability for Nextmune are additionally key components in driving incremental growth.”
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