TRxADE Health, Inc. Announces Business Combination with Scienture, Inc., in a Transaction Valued at $103 Million

Core Viewpoint - TRxADE Health, Inc. has completed a business combination with Scienture, Inc. in an all-stock transaction valued at approximately $103 million, resulting in a new entity focused on innovative branded specialty pharmaceutical products [15][19]. Company Overview - Scienture, Inc. is a private branded and specialty pharmaceutical company dedicated to developing unique specialty product concepts that enhance value for patients and healthcare systems [11][20]. - TRxADE Health, Inc. has historically focused on health services IT assets and operations aimed at digitalizing the retail pharmacy experience, with its primary operations conducted through its subsidiary, Integra Pharma Solutions, LLC [17]. Business Combination Details - The business combination is structured as a stock-for-stock exchange, where all outstanding equity securities of Scienture will be exchanged for a combination of TRxADE common stock and non-voting convertible preferred stock [7]. - Upon completion, current Scienture stockholders are expected to own approximately 82.99% of the combined company, while TRxADE stockholders are expected to own approximately 17.01% [7]. - The combined company will continue to be listed on Nasdaq and will operate under the name "Scienture Holdings, Inc." after the conversion of the non-voting convertible preferred stock [15]. Leadership and Governance - Suren Ajjarapu, the current Chairman and CEO of TRxADE, will continue to serve in the same roles for the combined company, with the existing TRxADE Board of Directors retaining their positions and two additional members designated by Scienture joining the board [23]. Strategic Focus - The combined company aims to bring to market innovative branded specialty pharmaceutical products that enhance the standard of care and add value to patients, caregivers, and the healthcare system [20][21]. - Scienture's product portfolio is supported by a leadership team with extensive experience across various operational areas, including product development and clinical operations [20].