Seven years ago, Vivek Ramaswamy created Roivant Sciences with the aim of finding a new financial model for drug development. On Monday, Roivant Sciences announced it would be going public by merging with a special acquisition company in a deal that values Roivant at $7.3 billion.
Montes Archimedes Acquisition Corp., a special acquisition company sponsored by Jim Momtazee’s Patient Square Capital, has agreed to merge with Roivant in a transaction that includes a private financing, in which Palantir Technologies, Viking Global Investors, Softbank and others will invest $200 million in the publicly traded equity.
The transactions are expected to close in the third quarter of 2021 and will provide $611 million in fresh cash for Roivant’s drug development activities, pushing up Roivant’s net cash position to $2.3 billion.
Matthew Gline, CEO of Roivant, said in an interview the company had explored going public in a traditional initial public offering, but found merging with the Montes Archimedes SPAC a more attractive way to list its shares.
Source: Forbes
Can't stop reading? This and all news articles are property of their creators, many are not owned or provided by Private Equity Insider. As an event organizer and community platform, we curate content from reliable sources for your suggested reading, and advise you to read the full articles from the referenced authors and sources.