Statement re. Suspension

RNS Number : 1505F

Phytopharm PLC

21 May 2013

 

21 May 2013

Phytopharm plc

("Phytopharm" or the "Company")

Re: Suspension of Trading

On the 18th February 2013 Phytopharm announced that analysis of the headline results from its Phase II clinical trial of Cogane™ in Parkinson's disease indicated that the drug had not demonstrated clinically meaningful efficacy. After discussions with the Company's major shareholder the Board initiated a review of the strategic options available to the Company, including a review of a number of merger and acquisition opportunities. Further to this, the Board of Phytopharm is pleased to announce that Phytopharm has recently signed heads of terms in connection with the possible acquisition of a revenue generating UK based private company in the healthcare sector ("Target").

The transaction would be structured by way of an acquisition of the Target by Phytopharm in consideration for the issue of new Phytopharm shares to the shareholders of the Target. Due to its size in relation to Phytopharm, the proposed acquisition of the Target constitutes a "reverse takeover" for the purposes of the Listing Rules.  At the request of the Company, trading in Phytopharm's Premium listed shares on the Main Market of the London Stock Exchange ("Main Market") has been suspended by the UK Listing Authority pending publication of the required shareholder documents. Shareholder approval would be required to approve the acquisition of the Target which would be sought at a general meeting to be convened in due course, after which the Company also expects to delist from the Main Market and seek admission of the enlarged share capital to trading on AIM. 

The Board expects to make a further announcement in due course.

Company contact: Phytopharm plc Tim Sharpington CEO Roger Hickling R & D Director [phone] www.phytopharm.com

UK Investor Relations contact:

FTI Consulting Limited

John Dineen
Ben Atwell
[phone]

 

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