Get in touch: send your photos, videos, news & views by texting YORK to 80360 or send an email»
Redundancies at biotechnology firm Evocutis
2:31pm Thursday 5th December 2013 in Business news
ALL seven employees at biotechnology firm Evocutis have been issued with redundancy notices as the business confirms it is in takeover talks.
The loss-making, listed Wetherby company said it was in discussions with “a small private company” regarding a potential acquisition. Evocutis warned in October that in order for the business to survive it would need to raise new financing.
The acquisition target is described as a pre-revenue business developing products in the skin science market. Bosses at Evocutis said: “Such acquisition would be accompanied by, and conditional upon, a fundraising to support the enlarged group and would also be subject to shareholder approval. This acquisition would constitute a substantial acquisition under the AIM Rules.”
Should the deal not reach a successful conclusion and in the absence of new finance being raised for the company, the directors are actively considering the financial viability of the company and the possible distribution of any residual value to shareholders.
In light of such consideration, notice of redundancy has been given to each of the employees of the company, excluding those holding board positions, who are currently not being paid.
Comments are closed on this article.