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Revance Therapeutics plunges after Crown Labs cuts takeover price in half
Dec. 09, 2024 8:55 AM ET
By: Joshua Fineman, SA News Editor


Revance Therapeutics (NASDAQ:RVNC) sunk 20% in premarket trading after it agreed to a revised deal with Crown Laboratories, with the takeover price cut by more than half.

Revance (NASDAQ:RVNC) will now receive $3.10 a share in a revised takeover agreement, down from the original price of $6.66, according to a statement on Monday. The transaction is expected to close in Q1.

The parties entered into the amended and restated merger agreement after Revance (RVNC) received notice from Teoxane alleging breach by Revance of its exclusive distribution agreement with Teoxane. Crown Labs also cited Revance’s recent commercial performance relative to prior 2024 financial guidance and its prospects as a standalone company

The Revance (RVNC) tender is expected to commence on Thursday.

Revance (RVNC) last month disclosed that there's substantial doubt about its ability to continue as a "going concern." The company also missed Q3 revenue estimates and withdrew its 2024 guidance and said there's a potential that Crown Laboratories deal may be terminated.

Revance (RVNC) traded at $3.53 on Aug. 9, the trading day before Crown Labs announced the $6.66 a share takeover.

https://seekingalpha.com/news/4377761-revance-therapeutics-plunges-after-crown-labs-cuts-takeover-price-in-half