ATNX - Athenex to sell its China API business for $19M
- Athenex ( NASDAQ: ATNX ) and certain affiliates to sell all of its equity interests in its China subsidiaries, which are primarily engaged in Active Pharmaceutical Ingredient (API) manufacturing operations, to TiHe Capital Co., Ltd. for RMB 124.4 million, or ~$19M.
- Athenex will receive at least 70% of the proceeds at closing, followed by 20% within three months after the closing date, and the remaining balance within six months after the closing date.
- The proceeds will be used in part toward repaying existing debt and operating the business.
- The deal is subject to customary closing conditions
- Athenex and TiHe also plan to enter into a long-term supply agreement for the manufacture and supply of certain API products.
- The company continues to monetize non-core assets to extend cash runway.
- ATNX --3.1563845% after hours to $0.54
- Source: Press Release
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Athenex to sell its China API business for $19M