Mergers, acquisitions, and restructuring - Pharmaceutical Technology

Latest Issue
PharmTech

Latest Issue
PharmTech Europe

Mergers, acquisitions, and restructuring
A roundup of company moves and positioning from the pharmaceutical and biotechnology industries and contract service providers.

PTSM: Pharmaceutical Technology Sourcing and Management
Volume 3, Issue 10

Princeton, NJ (Sept. 24)—Reflecting a strategic interest in strengthening its position in biologics, Bristol-Myers Squibb (BMS) agreed to acquire the biopharmaceutical company Adnexus Therapeutics (Waltham, MA) for $430 million.

Adnexus is a developer of a proprietary class of biologics called "Adnectins," which are derived from fibronectin, an extracellular protein that is naturally abundant in human serum. Fibronectin binds to other proteins using protein structures called targeting domains. An Adnectin consists of a backbone of the natural amino-acid sequence of a certain domain of human fibronectin and one to three targeting loops redirected to enable an Adnectin to specifically recognize a therapeutic target of interest, according to the company. The Adnectins are generated using the company's "Profusion" proprietary protein-engineering system. Adnexus says that although Adnectins and antibodies have targeting domains with three-dimensional shapes that resemble each other, the amino-acid sequences of each protein class are distinctly different.

Under the deal, BMS will pay $430 million in cash for Adnexus. The net purchase price is $415 million after deducting Adnexus' net-cash balance at closing. An earn-out structure could make BMS pay roughly $75 million more, in three increments of approximately $25 million each, in the event that certain developmental and regulatory milestones are achieved. The closing of the transaction is subject to customary regulatory approvals. Upon closing of the deal, Adnexus Therapeutics will become a BMS subsidiary and will remain located in Waltham, Massachusetts.

Hamburg, Germany and South San Francisco, CA (Sept. 19)Evotec and Renovis entered into a definitive agreement under which Evotec will acquire Renovis, a biopharmaceutical company, in a stock-for-stock transaction valued at approximately $151.8 million. The merger is expected to create a global pharmaceutical company with three clinical candidates, a late-stage preclinical pipeline focused on neurological and inflammatory diseases, and pro forma cash of approximately $175 million. The merged company will be called Evotec.

Pompey, France (Sept. 18)Groupe Novasep is finalizing discussions to acquire PharmaChem Technologies (Grand Bahamas) for an undisclosed amount. The companies hope to combine Novasep's research and development capabilities and technologies with PharmaChem's manufacturing capacity to produce pharmaceutical actives and intermediates. PharmaChem's facility, based in Freeport, Bahamas, complies with current good manufacturing practices and is inspected by the US Food and Drug Administration.

Huntsville, AL (Sept. 17)—Funds advised by Apax Partners agreed to acquire generics manufacturer and distributor Qualitest and Vintage Pharmaceuticals. The company produces tablets, capsules, liquids, suspensions, suppositories, creams, and ointments across a portfolio of more than 160 products. It is currently ranked among the top ten suppliers of generic pharmaceuticals based on the total number of prescriptions filled.

Franklin, MA and Durham, NC (Sept. 17)—Sontra Medical, a company focused on transdermal technology, and Echo Therapeutics, a privately held specialty transdermal therapeutics company, merged to form a single, publicly held company to operate under the name Echo Therapeutics. The newly combined company will have corporate offices in Philadelphia and research and development facilities in Franklin, Massachusetts, and Durham, North Carolina. Patrick T. Mooney and Shawn K. Singh, both formerly of Echo, will serve as chief executive officer and interim president of the combined company, respectively. Harry G. Mitchell of Sontra will continue to serve as chief operating officer and chief financial officer of the combined company.

Berlin (Sept. 14)Bayer Schering Pharma officially completed the acquisition of Novartis's (Basel, Switzerland) biologics manufacturing facility in Emeryville, California. Bayer will manufacture its "Betaseron" (interferon beta-1b) drug at the Emeryville site. The company maintains control of all manufacturing and process technology used to produce Betaseron, a multiple-sclerosis drug, and has retained the employees who manufacture the product.


ADVERTISEMENT

blog comments powered by Disqus
LCGC E-mail Newsletters

Subscribe: Click to learn more about the newsletter
| Weekly
| Monthly
|Monthly
| Weekly

Survey
What role should the US government play in the current Ebola outbreak?
Finance development of drugs to treat/prevent disease.
Oversee medical treatment of patients in the US.
Provide treatment for patients globally.
All of the above.
No government involvement in patient treatment or drug development.
Finance development of drugs to treat/prevent disease.
29%
Oversee medical treatment of patients in the US.
10%
Provide treatment for patients globally.
6%
All of the above.
42%
No government involvement in patient treatment or drug development.
13%
Jim Miller Outsourcing Outlook Jim MillerCMO Industry Thins Out
Cynthia Challener, PhD Ingredients Insider Cynthia ChallenerFluorination Remains Key Challenge in API Synthesis
Marilyn E. Morris Guest EditorialMarilyn E. MorrisBolstering Graduate Education and Research Programs
Jill Wechsler Regulatory Watch Jill Wechsler Biopharma Manufacturers Respond to Ebola Crisis
Sean Milmo European Regulatory WatchSean MilmoHarmonizing Marketing Approval of Generic Drugs in Europe
FDA Reorganization to Promote Drug Quality
FDA Readies Quality Metrics Measures
New FDA Team to Spur Modern Drug Manufacturing
From Generics to Supergenerics
CMOs and the Track-and-Trace Race: Are You Engaged Yet?
Source: PTSM: Pharmaceutical Technology Sourcing and Management,
Click here