Onzima Ventures agrees to buy remaining 51% of N4 Pharma

AIM-listed Onzima Ventures has agreed in principle to buy the 51% of N4 Pharma it does not already own.

The consideration for the acquisition, will be classified as a reverse takeover under AIM rules, will be satisfied by the issue of just over 36.4m new ordinary shares of 0.1p each.

In addition, the company will seek to raise about £3m through a placing of new shares to fund development of further patented reformulations of a wider range of generic drugs, to undertake clinical trials for its reformulation of Sildenafil and for working capital purposes.

Onzima is gradually monetising its share portfolio to provide funds for the continued development of N4 Pharma and the costs of the proposed acquisition. Following completion of the deal, its trading division will cease to exist.

Onzima has also agreed to increase its loan facility to N4 Pharma from £209,000 to £309,000.