Market Overview

Mallinckrodt To Sell BioVectra To HIG Capital For $250M

Mallinckrodt To Sell BioVectra To HIG Capital For $250M

Biopharmaceutical company Mallinckrodt plc (NYSE: MNK) is selling its wholly owned subsidiary BioVectra Inc. to an affiliate of H.I.G. Capital for $250 million.

This will include fixed consideration of $175 million: an upfront payment of $135 million, a long-term note for $40 million and contingent payments of up to $75 million.

"This transaction continues to advance Mallinckrodt's strategic focus on branded, high-growth biopharmaceuticals by monetizing a non-core business," CEO Mark Trudeau said in a statement.

"While we recognize the longer-term growth potential for BioVectra, we believe that the structure of this deal enables us to participate in the future success of the business, and therefore we see this sale as the best option for both Mallinckrodt and BioVectra moving forward." 

Mallinckrodt shares were trading up 12.86% at $2.37 in Tuesday’s premarket session. The stock has a 52-week high of $34.11 and a 52-week low of $1.43.

Related Links:

Mallinckrodt Reports Q2 Earnings Beat

Cannabis M&A: Therapix Biosciences, Destiny Biosciences Plan Stock-For-Stock Deal

Posted-In: BioVectra HIG CapitalBiotech M&A News General Best of Benzinga


Related Articles (MNK)

View Comments and Join the Discussion!
Fastest Market News Application
You'll Hear It First On Pro
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

7 Technology Stocks Moving In Tuesday's Pre-Market Session

28 Stocks Moving in Tuesday's Pre-Market Session