Benzinga | Jul 16, 2020 07:02AM EDT

Summit Therapeutics To Redomicile Its Holding Company In US

Summit Therapeutics plc (NASDAQ:SMMT) today announces its intention to relocate the corporate domicile of its holding company from the United Kingdom to the United States. The proposed redomiciliation is in line with Summit's increasing focus on business operations in the United States, including its plans to commercialise ridinilazole for the treatment of C. difficile infection ('CDI'), if approved. In addition, Summit expects to gain greater corporate flexibility and improve its access to capital by operating within a jurisdiction more familiar to US-focused healthcare investors.

The proposed redomiciliation is to be effected by a UK court-approved scheme of arrangement (the "Plan of Redomiciliation"). Under the Plan of Redomiciliation, every five existing Summit ordinary shares will be exchanged for one share of common stock in a newly incorporated Delaware corporation ("New Summit"). Accordingly, holders of Summit's American Depositary Shares ('ADSs') can expect to receive one share of New Summit common stock in exchange for each of their ADSs. The New Summit common stock is expected to be listed on the Nasdaq Global Market.

The proposed redomiciliation is subject to, amongst other things, shareholder approval and court approval in the United Kingdom. A circular, which will contain full details of the Plan of Redomiciliation, will be posted to holders of Summit ordinary shares and ADSs as soon as practicable. Summit's operations at the Company's UK locations in Oxford and Cambridge are expected to continue unaffected under the new United States based holding company.