Evotec surges on Halozyme takeover interest

Evotec surged on Friday after Halozyme Therapeutics confirmed it had submitted a non-binding proposal to buy the German biotech for €11.00 per share in cash, or about €2bn.

This is a 109% premium to the undisturbed Evotec share price on 15 October, which was the day before Triton Partners' initial accumulation of Evotec shares.

Helen Torley, president and chief executive officer of Halozyme, said: "The combination of Halozyme and Evotec would diversify and extend Halozyme revenue and EBITDA growth and durability well into the next decade and beyond.

"I am excited about the potential to bring together best-in-class innovative technologies and both organizations' capabilities to create a pan US / European innovative services company. With increased scale, a deep pipeline, and a diversified offering, we would be a highly attractive strategic partner to the biopharma industry. This in turn would provide a remarkable opportunity to accelerate the discovery and development of medicines that will improve patients' outcomes."

Evotec said in a brief statement: "The company will carefully analyse this expression of interest, decide on next steps, and inform the capital market in accordance with the legal requirements."

At 0835 GMT, Evotec shares were up 19% at €10.24.