Swedish tech investment company, Kinnevik AB said it has agreed to purchase shares of Livongo Health, Inc. owned by Merck Global Health Innovation Fund, LLC.
The shares which are about 2,306,578 shares of Livongo’s common stock from Merck corresponding will be for a total value of USD 49,591,427.
The shares purchase programme by Kinnevik seems to be wide-reaching. The company said it will also, said it has entered into a non-binding basis indicated an interest in purchasing newly issued shares of Livongo’s common stock in the IPO corresponding to approximately USD 20 million.
Kinnevik disclosed that it currently owns approximately 12.16% of Livongo’s shares (9.1% on a fully diluted basis) and valued its shareholding at SEK 732m in Kinnevik’s Q1 2019 report.
However, following the closing of the IPO and the purchase from Merck based on the assumptions above, Kinnevik would own approximately 14.34% of Livongo’s outstanding shares, assuming no exercise of the underwriters’ option to purchase additional shares in the IPO.
