Business
Heads of Terms agreed for Sale of CD4 Business
Heads of Terms agreed for Sale of CD4 Business.
About this update from Cambridge Nutritional Sciences Plc
[{"type":"text","content":"\n \n \n \n \n \n \n The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.\n \n \n \n \n \n \n \n OMEGA DIAGNOSTICS GROUP PLC\n \n \n \n (\"Omega\" or the \"Company\" or the \"Group\")\n \n \n \n \n \n \n Heads of Terms agreed for Sale of CD4 Manufacturing Business\n \n \n \n \n In-line with strategic plan to focus on higher growth Health & Nutrition division\n \n \n \n \n \n \n Further to the Circular published on the 13 May 2022 indicating that the Group's CD4 business was being marketed for sale, Omega (AIM: ODX), the specialist medical diagnostics company focused on industry-leading Health & Nutrition and Global Health products, announces that after receiving a number of indicative offers, the Company has now selected a preferred bidder to acquire its CD4 business. On 2 July 2022, Omega and the preferred bidder signed Heads of Terms in relation to the sale of the Company's CD4 business, which manufactures and supplies VISITECT® CD4 and VISITECT® CD4 Advanced Disease tests (the \"CD4 Business\").\n \n \n \n \n \n The preferred bidder has now been granted four weeks in which to complete the remainder of their due diligence, which mainly comprises commercial discussions of a confirmatory nature with key customers and suppliers. The transaction is expected to complete shortly thereafter and will include a significant up-front cash payment and a future royalty stream linked to VISITECT® CD4 test sales.\n \n \n \n \n \n As previously indicated the Board believes\n the CD4 Business will be more successful under new ownership, with an owner which has a greater capacity to invest in production capabilities and product development. The\n Company will now focus\n solely on its Health & Nutrition business, where there are significant growth opportunities.\n \n \n \n \n \n \n Recognising the future funding requirements of the Group will change significantly following the divestment of the CD4 Business, Bank of Scotland has agreed to extend the existing overdraft facility of £2.0 million by an additional t...