Atea Pharmaceuticals jumps on $5.75 a share takeover offer from Tang Capital

Atea Pharmaceuticals (NASDAQ:AVIR) soared 24% in premarket trading after Tang Capital affiliate Concentra Biosciences offered to buy Atea for $5.75 a share in cash.
The offer also includes a contingent value right representing the right to receive 80% of the net proceeds payable from any license or disposition of Atea’s program, according to a letter from Concentra in a Tang Capital 13D filing. The offer represents a 55% premium to Atea's (AVIR) closing price on Friday. Tang Capital has a 3.6% stake in Atea.
The Concentra offer is subject to limited confirmatory due diligence and is based on the availability of at least $570 million of net cash and cash equivalents at closing. Concentra is prepared to complete due diligence and negotiate a definitive merger agreement by June 15, 2023 and would be able to close the acquisition by late July 2023.
Atea (AVIR) reported Q1 results earlier this month.