British pharma company AstraZeneca announced the successful completion of acquiring Gracell Biotechnologies, it said on Thursday.
Gracell will now function as a wholly-owned subsidiary of AstraZeneca, with operations in China and the US.
According to the definitive agreement, AstraZeneca has purchased all of Gracell's fully diluted share capital through a merger for $2.00 per ordinary share in cash at closing.
Additionally, a non-tradable contingent value right of $0.30 per ordinary share in cash will be paid upon reaching a specific regulatory milestone.
The initial cash payment accounts for a total transaction value of about $1.0 billion.
When considering both the upfront and contingent value payments, the potential transaction value could amount to approximately $1.2 billion upon successful completion.