BioCentury
ARTICLE | Financial News

Roivant to invest $116.4M in Arbutus

October 2, 2017 10:35 PM UTC

Arbutus Biopharma Corp. (NASDAQ:ABUS) said Roivant Sciences GmbH (Basel, Switzerland) agreed to invest up to $116.4 million through the purchase of convertible preferred shares at a $7.13 conversion price, which represents a 15% premium to Arbutus' close of $6.20 on Friday, before the deal was announced. Arbutus gained $1.05 (17%) to $7.25 on Monday.

Arbutus expects to use the funds to develop its preclinical and clinical HBV-focused pipeline. The company expects a $50 million tranche to close shortly, while a subsequent $66.4 million tranche is subject to shareholder approval...