09:11 AM EDT, 10/17/2024 (MT Newswires) -- Kezar Life Sciences ( KZR ) said Thursday that its board of directors has unanimously rejected an unsolicited takeover bid from Concentra Biosciences saying it "substantially undervalues the company."

The company said Concentra Biosciences sought to acquire all of its outstanding common stock for $1.10 cash per share, as well as the possibility of receiving 80% of the net proceeds from out-license or disposition of Kezar's development programs or intellectual property. It also said Concentra and its affiliates have rapidly accumulated 9.9% of Kezar's outstanding common stock.

As a result of Concentra Biosciences' unsolicited takeover bid and accumulation of shares, the company said its board has adopted a limited duration stockholder rights plan, effective immediately. The board also approved a dividend of one preferred share purchase right for each outstanding share of Kezar's common stock in connection with the rights plan.

Shares of Kezar Life Sciences ( KZR ) were down more than 9% in recent premarket activity.

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