ImmunoPrecise Antibodies Ltd (CVE:IPA) is lined up to acquire Crossbeta Biosciences, a Dutch company with a proprietary technology for efficient oligomer-based drug discovery.
The €8.5mln (C$12.84mln) acquisition, should it go ahead, would allow ImmunoPreceise Anitbodies (IPA) to build a pipeline of antibodies with applications in biomarker/diagnostic assays and antibody solutions therapeutics.
IPA will either pay for the acquisition through the issue of shares or the use of convertible notes carrying a coupon of 6%.
The Canadian company has also indicated it would pump €15mln (C$22.65mln) into the company, with some of that planned investment triggered by milestone achievements.
IPA said the purchase of the privately-held company would significantly further its ambition of becoming a single-source provider of services across the full antibody discovery value chain (antigen design, hit generation, lead selection, lead optimization and lead characterization) and of offering the full spectrum of antibody production methodologies (library-based technologies, hybridoma methods, transgenic animal based platforms and single B cell-based technology).
Furthermore, the acquisition enhances the company's source of, and capacity for, developing unique antigens for generating and selecting antibodies.
"In acquiring Crossbeta Biosciences BV, IPA becomes a leading integrated antibody solutions company with high-value potential biomarker/diagnostic and therapeutic assets," said James Kuo, the chairman and interim president of the company.