Tevogen CEO Ryan Saadi said in a letter to shareholders on Friday that the company is “actively evaluating” potential acquisitions to drive value.
“If consummated, these transactions are expected to operate as subsidiaries of Tevogen resulting in positive cash flow generation and a return on invested capital over time,” the CEO said.
As per the CEO, the combined entities under consideration for acquisition may generate aggregate annual revenues in excess of $50 million, based on preliminary evaluations.
Proposed Deals
The CEO’s letter comes on the heels of the company announcing that it has entered into a letter of intent to evaluate a deal with another pharmaceutical company called Apozel Pharmaceuticals.
If the deal with Apozel goes through, it could provide Tevogen with an established generics platform, the company had said. This includes 11 FDA-approved generic products for the U.S. market and others awaiting approval by the FDA or currently under development.
Tevogen is also actively considering other transactions, the company said earlier this week, while expressing its interest in domestic generics, biosimilars, medical devices, and innovative insurance solutions for healthcare providers.
Last month, the company signed another letter of intent to evaluate a deal with a global contract research organization.
Earlier this week, the company also said that its Board has approved a reverse stock split of its common stock at a ratio of 50 for 1 to regain compliance with Nasdaq’s $1 minimum bid price requirement. The stock began trading on a split-adjusted basis on Friday.
How Did Stocktwits Users React?
On Stocktwits, retail sentiment around TVGN stock rose from ‘bearish’ to ‘bullish’ territory over the past 24 hours, while message volume remained at ‘high’ levels.
TVGN stock has erased nearly 87% of its value over the past 12 months.
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