Cogentix Medical (CGNT) Stock: Rockets On Acquisition News

Cogentix Medical Inc CGNT Stock NewsCogentix Medical Inc (NASDAQ: CGNT) is having an incredibly strong day in the market today, and for good reason. In a press release issued early this morning, the company announced that it will be acquired. Of course, this led to excitement among investors, sending the stock on a tear toward the top. Today, we’ll talk about the acquisition, what we’re seeing from the stock, and what we’ll be watching for with regard to CGNT ahead.

CGNT To Be Acquired

As mentioned above, Cogentix Medical is having an incredibly strong day in the market today after announcing that it will be acquired. In the release, the company announced that LABORIE Medical Technologies will be acquiring the company in a transaction valued at approximately $214 million. This puts the price per CGNT share at $3.85. In a statement, Michael Frazzette, President and CEO at LABORIE Medical Technologies, had the following to offer with regard to the acquisition of CGNT:

The acquisition of Cogentix advances our strategy to invest in leading technologies that provide product and channel scale to LABORIE’S existing Urology Strategic Business Unit (SBU) diagnostic and therapeutic portfolio, particularly in the areas of OAB (overactive bladder) and SUI (stress urinary incontinence)… The addition of Cogentix’s suite of technology will significantly expand LABORIE’S therapeutic offering, thereby providing customers and their patients with comprehensive, clinically-relevant solutions along the disease treatment continuum. 

What We’re Seeing From The Stock 

As investors, one of the first lessons that we learn is that the news moves the market. In this particular case, the news proved to be overwhelmingly positive. After all, not only is the acquisition agreed to, it comes at a strong premium. So, it’s no surprise to see that investors are excited about this one today. Currently (11:31), CGNT is trading at $3.85 per share after a gain of $0.48 per share or 14.18% thus far today.

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What We’ll Be Watching For Ahead

Moving forward, the CNA Finance team will continue to keep a close eye on CGNT. In particular, we’re interested in following the story surrounding the acquisition. While there is an agreement on the table, the transaction is still subject to customary closing conditions as well as regulatory approval. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!

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