Pharmacolog implements a strategy with the main objective of carrying out an industrial or financial sale.
The Board of Directors of Pharmacolog has decided to implement with immediate effect a strategy with the goal of divesting all or parts of Pharmacolog's business. A sale can take place both with companies with an industrial rationale or through a financial transaction, such as a reverse acquisition. However, there are no guarantees that such a transaction will take place. In the absence of a divestment, the Board will work for a controlled winding up of the business through voluntary liquidation.
The background is that Pharmacolog continues to see a dampened demand for the company's products, which is not expected to change in the near term. In addition, the company's attempt to find a distributor for Europe has not yet succeeded. Given these conditions, the Board sees limited opportunities to develop the business as an independent entity. After careful evaluation, the Board has therefore concluded that this strategy is the best option for creating and preserving shareholder value. Pharmacolog remains committed to providing first-class support to the existing customer base.
"The Board works hard to safeguard the interests of our shareholders. In light of the challenges we have seen in recent years with, among other things, the Covid pandemic and the global economic situation, we see limited possibilities to continue the current business on our own, which is why the main goal is now to achieve a sale of all or part of the business. Initial contacts and early dialogues have been initiated. We would also like to emphasize that with the cost-saving programs that have been decided and that will have full effect from January 2024, we have a relatively good time to explore this strategic initiative," says Erik Hedlund, Chairman of the Board of Pharmacolog.
This disclosure contains information that Pharmacolog is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 13-10-2023 08:30 CET.