Perth-based Navigator Resources has announced plans to exit the resources industry by acquiring an Australian pharmaceutical business and relisting on the ASX through the backdoor.
Navigator will issue 940.9 million shares in order to wholly acquire NSW-based First Pharma, an ‘over the counter’ pharmaceutical company that distributes established brands in pharmacies across Australia, New Zealand and Asia.
As part of the reverse takeover, Navigator will be required to undertake a capital raising, the details of which are yet to be disclosed.
If successful, the merged company would seek to be restart trading on the ASX by August.
“The First Pharma business model is to acquire and in-license both established brands and brands with untapped potential and then to apply further financial and human capital resources to grow them,” Navigator said in a statement.
“First Pharma currently distributes established brands in pharmacy and has a number of products in the registration phase.”
The two companies will undertake due diligence on the proposal before further details are released.
Navigator shares have been suspended since mid-March, and were last worth 0.8 cents each.
