Anika Therapeutics Completes Sale of Arthrosurface Incorporated

Anika Therapeutics, Inc. (NASDAQ: ANIK) announced on October 31, 2024, that it has finalized the sale of all outstanding equity interests of its former wholly-owned subsidiary, Arthrosurface Incorporated. The transaction, completed on the Closing Date, involved the sale to Phoenix Brio, Incorporated, in accordance with the terms outlined in a Share Purchase Agreement entered into by the involved parties.

In consideration for the transaction, Phoenix Brio, Incorporated, delivered a ten-year non-interest bearing promissory note amounting to $7,000,000 to Anika Therapeutics at the closing. As per the Purchase Agreement terms, Anika Therapeutics stands to receive Revenue Payments for certain commercial and pipeline products sold during the specified period after the Closing Date. Additionally, the company is entitled to a percentage of gross proceeds from the sale of certain products in transactions with non-affiliated third parties within twenty-four months post the Closing Date.

Furthermore, Phoenix Brio, Incorporated, has the option to make a Buy-Out Payment to Anika Therapeutics, either a fixed sum of $14,000,000 or ten times the Revenue Payments, based on the latest complete calendar year’s figures before a change of control transaction or upon issuing written notice to the company.

The agreement also includes provisions for post-closing adjustments to the aggregate consideration. Subsequent to the transaction’s completion, Anika Therapeutics issued a press release on October 31, 2024, disclosing the finalization of the deal. The press release, shared as Exhibit 99.1 in the Current Report on Form 8-K, was intended for Regulation FD Disclosure purposes.

It’s worth noting that the information disclosed in the press release and Exhibit 99.1 is presented for reference and is not filed under the Securities Exchange Act of 1934 or incorporated by reference in any Securities Act of 1933 or Exchange Act filings unless explicitly referenced in such filings.

This report was duly authorized and signed by Cheryl R. Blanchard, President, and Chief Executive Officer of Anika Therapeutics, Inc., on October 31, 2024.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Anika Therapeutics’s 8K filing here.

About Anika Therapeutics

Anika Therapeutics, Inc, a joint preservation company, creates and delivers advancements in early intervention orthopedic care in the areas of osteoarthritis (OA) pain management, regenerative solutions, sports medicine, and arthrosurface joint solutions in the United States, Europe, and internationally.