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Wired News – Alliqua BioMedical Enters into Purchase Agreement with Celularity; Agrees to Sell its Advanced Biologic Wound Care Business

LONDON, UK / ACCESSWIRE / January 09, 2018 / Active-Investors.com has just released a free research report on Alliqua BioMedical, Inc. (NASDAQ: ALQA) ("Alliqua"). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=ALQA as the Company's latest news hit the wire. On January 05, 2018, the leading regenerative technologies Company announced a definitive agreement with Celularity, Inc., pursuant to which, the latter company has agreed to acquire all of the property, assets, and rights concerning Alliqua's advanced biologic wound care business, for a cash consideration of about $29 million. The agreement was unanimously approved by Alliqua's Board of Directors, while Celularity assumed no significant debt or liabilities under the terms of the agreement. Register today and get access to over 1000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Alliqua BioMedical most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

www.active-investors.com/registration-sg/?symbol=ALQA

The Announcement

This purchase agreement closely follows the announcement made on November 09, 2017, where Alliqua announced that it engaged Cowen as its independent financial advisor to help the Company evaluate potential strategic alternatives. The purchase agreement is viewed by Alliqua as a transformative transaction, which would enable the Company to strengthen its balance sheet by paying its debt in full. Moreover, the agreement would deliver the Company an appropriate amount of working capital to drive its operating business in a positive manner.

Celularity views this acquisition of Alliqua's commercial infrastructure and product portfolio as a step to advance its goal of being the world leader in cell therapy and regenerative medicine, which according to Celularity, has the potential to treat or cure multiple debilitating diseases. Alliqua is currently involved in the marketing of human biologic regenerative technologies, namely, Biovance and Interfyl, where the Company also markets UltraMIST System, a painless, non-contact low-frequency ultrasound to stimulate cells below the wound bed to accelerate the healing process.

The agreement between the companies includes all intellectual property and all license, marketing, development, and supply agreements related to these businesses, while the Alliqua's contract manufacturing assets and operations were excluded in the asset purchase agreement.

Company Growth Prospects

On October 05, 2017, Alliqua announced that it would initiate a reverse stock split of issued and outstanding common stock at an exchange ratio of 1-for-10 after the close of business. On October 27, 2017, the Company received $1 million under an agreement with Soluble Systems, LLC, concerning amounts which were paid in advance to Soluble by Alliqua in 2016 and 2017.

On November 09, 2017, Alliqua announced its Q3 FY17 results for the three-month period ended September 30, 2017. Total revenue from operations advanced 12% YOY to $4.9 million in Q3 FY17, while the product revenue from the operations was $4.4 million in Q3 FY17, advancing 14% YOY from Q3 FY16.

Alliqua also minimized its net loss from $8.6 million in Q3 FY16 to $2.7 million in Q3 FY17. The Company attributed the decline in net loss to $4.1 million improvement in operating income in Q3 FY17 versus Q3 FY16. The Company updated its full-year FY17 guidance range to reflect strong growth performance in Q3 FY17. Alliqua expected product sales of $17.4 million to $17.9 million for full-year FY17, representing growth in the range of 23% to 27% YOY.

Stock Performance Snapshot

January 08, 2018 - At Monday's closing bell, Alliqua BioMedical's stock tumbled 23.41%, ending the trading session at $1.93.

Volume traded for the day: 779.01 thousand shares, which was above the 3-month average volume of 83.87 thousand shares.

Stock performance for year-to-date - up 6.63%

After yesterday's close, Alliqua BioMedical's market cap was at $7.82 million.

The stock is part of the Healthcare sector, categorized under the Drug Manufacturers - Major industry.

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