Liminal Biosciences (NASDAQ:LMNL) stock is taking off on Wednesday as investors react to the biopharmaceutical company getting an unsolicited transaction proposal.
According to a press release from the company, Structured Alpha LP is seeking to acquire Liminal Biosciences for $7.50 per share. That represents a roughly 98.4% premium to LMNL stock’s closing price on Tuesday.
Investors will note that Structured Alpha LP is already a major shareholder of LMNL stock. The company owns 1,987,622, which gives it a 64.03% stake in the company. Its offer would see it acquire the remaining shares it doesn’t already own.
Liminal Biosciences has already created a committee of independent Board members to evaluate the offer from Structured Alpha LP. The company says that shareholders don’t have to take any action concerning the offer at this time.
What This Means for LMNL Stock
If Structured Alpha LP was to acquire the remaining shares of Liminal Biosciences stock, it would likely result in the company going private. That means shares of LMNL would no longer be traded on a public exchange.
The idea of a deal has traders excited with some heavy movement for LMNL stock today. That has some 5 million units on the move as of this writing, For comparison, the company’s daily average trading volume is about 8,000 shares.
LMNL stock is up 77% as of Wednesday morning.
Investors looking for more of the latest stock market news today are in luck!
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