Evotec surges as Triton said to consider takeover

Evotec surged on Monday as it emerged that private equity firm Triton Partners is considering a takeover bid for the German drug development company after taking a near-10% stake.

Bloomberg cited people familiar with the matter as saying that Triton is considering a takeover bid for Evotec.

Sources told Bloomberg that Triton has been seeking to meet with top Evotec executives as it explores a potential buyout. The report came as a regulatory filing showed that Triton lifted its stake in Evotec last week to 9.99%.

Bloomberg said that Triton would need foreign investment approval if it wants to boost its holding to 10% or more.

Any significant move would also need support from Evotec’s other major shareholders Novo Holdings - the parent company of drugmaker Novo Nordisk - and Abu Dhabi sovereign fund Mubadala Investment Co.

It was understood that deliberations are ongoing and Triton could decide against proceeding with any formal offer.

Evotec develops drug discovery programs with biotech and pharmaceutical companies in areas including cardiovascular disease, oncology and immunology.