Revolymer completes disposal of nicotine gum business

Revolymer announced on Wednesday that the divestment of its nicotine gum business to the Danish company Alkalon was now complete.

The AIM-traded company said at completion, the consideration to Revolymer for the divestment of this business is a 15% equity holding in the enlarged Alkalon business, which may increase to 20% if certain commercial milestones in the acquired nicotine gum business are met in within nine months of completion.

It confirmed the award of additional specific contracts in Canada is the primary commercial milestone.

“The consideration is valued at DKK8.2m, equivalent to £1.0m, and Revolymer currently expects to hold the investment for the medium to long term,” its board said in a statement.

“Revolymer has taken up its right to appoint a director to the board of the combined business and Robin Cridland, Revolymer's CFO, will join the board of Alkalon.”