Biotech Growth Trust notes $2.2 billion acquisition of Forte Biosciences

BIOG

Biotech Growth Trust plc (LON:BIOG) has noted the announcement on Monday, 27 July 2026 that argenx SE has entered into an agreement to acquire BIOG portfolio company, Forte Biosciences, Inc. for approximately $2.2 billion, or $77 a share, in cash, representing a 40.5% premium to Forte’s closing price on Friday, 24 July 2026.

Forte is a clinical-stage biotechnology company focused on the development of drugs to treat immunological disorders. FB102, Forte’s lead drug candidate, has recently demonstrated strong proof-of-concept data in two clinical trials for the treatment of vitiligo and coeliac disease. FB102 is a first-in-class anti-CD122 antibody which could have applications in multiple other autoimmune diseases.

The Company’s holdings in Forte represented 3.03% of the Company’s net asset value at the time of the announcement. The transaction will be reflected in the Company’s NAV as at close of business on Monday, 27 July 2026, which will be announced on Tuesday, 28 July 2026.

This acquisition is the latest in a series of successful M&A outcomes across the portfolio over the past 12 months – following Avidity Biosciences, Cidara Therapeutics, Amicus Therapeutics, Apellis Pharmaceuticals, Kalvista Pharmaceuticals, Esperion Therapeutics, Nuvalent, Inc. and AtaiBeckley Inc. – which have contributed meaningfully to the Company’s performance.

Geoff Hsu, Portfolio Manager at The Biotech Growth Trust, commented:

“The investment in Forte was made in November 2024 at $5.552 per share as part of a confidentially marketed private placement based on the promise of FB102 in coeliac disease. OrbiMed was among a select group of investors invited to participate in the financing. Today’s acquisition represents another successful outcome for BIOG and highlights how OrbiMed’s world-class team of scientific, medical and investment professionals enables us to identify and gain access to innovative biotechnology companies at an early stage of their development, often before their full potential is recognised by the broader market. This transaction is the latest in a series of M&A outcomes across the portfolio and further demonstrates how our focus on identifying and investing in innovative small and mid-cap biotechnology companies developing differentiated, best-in-class therapies can deliver substantial long-term returns for shareholders.”

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