from Business SpectatorBiota Holdings, Nabi...

from Business Spectator

Biota Holdings, Nabi Pharmaceuticals

Nothing comes easy for Biota Holdings.

The small biotech company is trying to orchestrate a backdoor listing on the Nasdaq via a reverse takeover of US-listed Nabi Pharmaceuticals, which is basically a cash box.

It’s not an ideal situation for shareholders to be left with US scrip, but it’s what Biota feels is necessary if it’s access America’s enormously larger market.

The company’s share slid 4 per cent yesterday after Biota announced a new merger structure that would leave shareholders with a larger stake in the new company, which will be carrying less cash than expected.

Nabi shareholders will now collect between $US28 million and $US31 million in cash, which will leave $US27 million left over for the US-listed Biota Pharmaceuticals.

Biota shareholders will receive 81.5 per cent to 85.8 per cent of the company, up from 74 per ce