BioDelivery Sciences International, Inc. (NASDAQ: BDSI) confirmed a merger agreement with Collegium Pharmaceutical, Inc. (NASDAQ: COLL). As per the agreement, Collegium will purchase all outstanding shares of BDSI at $5.60 per share in an all-cash transaction. Both the companies’ Boards of directors have agreed to the merger agreement.
BioDelivery Sciences disclosed that it is happy to announce the transaction with Collegium. The company believed that this agreement is evidence that the portfolio of the firm is worth investing in and also BioDelivery has a long-term value in its brands. Its team has worked carefully to expand its unique products. The company has full confidence that this transaction will provide many benefits to patients and prescribers and create significant value for its shareholders.
As per the merger agreement, Collegium will immediately start a tender offer to buy all of the outstanding shares of BDSI’s common stock at $5.60 per share in cash. The consideration highlights a 54% premium to BDSI common stock’s closing price of $3.64 on February 11, 2022, and a premium of 65% over the 30 trading day’s volume-weighted average price of $3.40.
Furthermore, Collegium will buy all remaining shares at the same price of $5.60 per share through a second-step merger after the execution of the tender offer. The closing of the transaction is likely to take place late in the first quarter of 2022. Moreover, the closing of the tender offer will be contingent on a majority of BDSI’s outstanding shares being offered.