Filing Flows › Avalo Therapeutics (AVTX) › Takeover & LBO
Is Avalo Therapeutics (AVTX) a takeover target?
A leveraged buyout does not work for Avalo Therapeutics on its latest figures: it has no positive EBITDA to borrow against (−$91.3M over the last 12 months, on revenue of $59K).
Why a leveraged buyout does not fit
A leveraged buyout is paid for mostly with debt that the company's own cash flow repays. Avalo Therapeutics' EBITDA over the last 12 months was −$91.3M on revenue of $59K, so there is nothing to lend against and nothing to repay a loan with: a buyer would have to pay almost entirely with its own money. That is the kind of deal another company — a strategic buyer that wants the products, the pipeline or the technology — makes, not a private-equity fund. The model therefore gives no buyout price.
What a takeover could cost
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Avalo Therapeutics would cost about $18.43 a share, $803M for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $16.65 | $726M |
| Median | 35% | $18.43 | $803M |
| High end (a quarter paid more) | 45% | $19.79 | $863M |
Avalo Therapeutics' latest quarter
Avalo Therapeutics, Q4 2025: revenue $59K (-69% year over year), net loss $13.7M, operating cash flow −$14.2M. The chart follows the revenue to costs, profit and cash.
Questions
Is Avalo Therapeutics being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Avalo Therapeutics?
A leveraged buyout does not work for Avalo Therapeutics on its latest figures: it has no positive EBITDA to borrow against (−$91.3M over the last 12 months, on revenue of $59K). With no cash flow to repay a loan, a buyer would pay almost entirely with its own money: a deal for another company (a strategic buyer), not for a private-equity fund.
What would a takeover of Avalo Therapeutics cost?
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Avalo Therapeutics would cost about $18.43 a share, $803M for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.