Merck to pay approximately $300 million for Immune Design.
With its proprietary technologies GLAAS® and ZVex®, late-stage immunotherapy company Immune Design has attracted the attention of Merck. The company relies on technologies that are designed to activate the immune system's natural ability to generate and/or expand antigen-specific cytotoxic immune cells to fight cancer and other chronic diseases. The firm is using immunization and adjuvant systems to enhance the ability of a vaccine to protect against infection, which could meaningfully improve vaccine development, according to Merck Research Laboratories President Roger M. Perlmutter.
Merck announced that it plans to acquire Immune Design for $5.85 per share in cash, which works out to total approximately $300 million. As part of the agreement, which should be completed in Q2 2019, a subsidiary of Merck will initiate a tender offer to acquire all outstanding shares of Immune Design, the closing of which will be subject to several conditions, including the tender of shares representing at least a majority of the total number of Immune Design’s outstanding shares, the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and other customary conditions.
Once the tender offer has been successfully completed, Merck will acquire any remaining shares not acquired in the tender through a second-step merger. Financial advisers for the transaction for Merck and Immune Design were Credit Suisse and Lazard, respectively.