Tissue Regenix (LON:TRX) shares came under pressure today after the regenerative medicine company said it paid $30 million (£23 million) to acquire CellRight Technologies and its line of spine surgery and orthopedics products.
Leeds, U.K.-based Tissue Regenix said it funded the deal with a $52 million (£40 million) flotation of 400 million shares. CellRight is based in San Antonio, Texas.
“It broadens our orthopedics product offering – we have a number of products that are close to launch in the EU and a number of things in the U.S. we are working on that will be complementary – and it also expands our base in the U.S.,” Tissue Regenix CEO Antony Odell said.
Tissue Regenix’s technology is designed to allow the body to regenerate tissue using a “scaffold” made of decellularized animal and human tissue. Odell said CellRight developed technology for bone that’s complementary to his firm’s soft-tissue-based platform.
TRX shares were down -8.8% to £0.114 apiece today in late-afternoon trading in London.
($1 = £0.7688)
Material from Reuters was used in this report.