Here is why TherapeuticsMD jumped 300%

TherapeuticsMD Inc. (NASDAQ: TXMD) surged 300% after the women’s healthcare firm announced the signing of a definitive agreement to be purchased by an EW Healthcare Partners affiliate. EW Healthcare Partners is a private equity company committed to investing in fast-growing healthcare firms.

EW Healthcare Partners to acquire TherapeuticsMD for $177 million

According to the terms of the agreement, which has received 100% support from TXMD’s board, EW Healthcare Partners shall initiate a tender offer to purchase all outstanding TXMD shares in a cash consideration at $10 per share to complete a merger. The total value of the transaction is estimated to be around $177 million. The acquisition price is 367.3% higher than TXMD’s closing price on May 27, 2022.

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CEO TherapeuticsMD Hugh O’Dowd said:

We are very pleased to enter into this agreement with EW Healthcare Partners. Together, we will continue empowering women of all ages through a therapeutic focus in family planning, reproductive health, and menopause management. We have a deep appreciation for EW Healthcare Partner’s depth of expertise and track record and know they will bring an incredible value of knowledge and strategic guidance.

With over $4 billion in money raised since its establishment, EW Healthcare Partners is among the oldest and largest private healthcare venture organizations. EW Healthcare Partners has invested in over 150 fast-growing healthcare companies in  Europe and the US in medical devices, pharmaceuticals, technology-enabled services, and diagnostics.

EW Healthcare Partners Evis Hursever commented:

We are pleased to welcome TherapeuticsMD to the EW Healthcare Partners portfolio and are deeply committed to the Company’s mission of advancing women’s health. EW Healthcare Partners has already made a significant investment in women’s health through its acquisition of Majorelle.

TherapeuticsMD is an opportunity for Majorelle to expand to the US

TherapeuticsMD is a once-in-a-lifetime chance for Majorelle to break into the US arena, and it fits perfectly with EW Healthcare’s ambitious goals to build a leading trans-Atlantic women’s health platform.

Majorelle chairman and senior advisor of EW Healthcare Partners Oliver Bohuon said:

We look forward to working together with the company’s management team to enhance the patient experience, improve operational efficiency and create one of a very few trans-Atlantic specialty pharma companies dedicated to women’s health.