Jan 23 Intellectual property marketing company
IP Group Plc said it agreed to buy the about 80 percent
stake it does not already own in peer Fusion IP Plc for
about 70 million pounds ($116 million) in stock.
The deal offers Fusion IP shareholders 0.446 IP Group shares
for every share held, or a premium of about 27 percent to the
stock's Wednesday close.
The deal values Fusion IP at 80.2 pence per share or about
87.8 million pounds.
IP Group, which commercializes intellectual property
developed at universities and similar establishments, first
invested in Fusion IP in 2009 and currently owns a 20.1 percent
IP Group has tie-ups with 11 universities in the UK
including King's College London and the University of Oxford,
and supports IP development in fields as diverse as
computer-aided drug discovery to fuel cell technology and
"The acquisition is highly complementary to IP Group's core
business and will give the combined entity greater breadth of
coverage, enabling us to access a wider pool of intellectual
property," IP Group Chief Executive Alan Aubrey said in a
IP Group also said on Thursday that it would raise about
75.0 million pounds through a share placing, of which 50 million
pounds would be raised through a firm placing underwritten by
Shares in IP Group were down about 2 percent at 175.6 pence
at 0908 GMT on the London Stock Exchange. Shares in Fusion IP
were up 17 percent in very light trade.