Date: 2017-07-20
Type of information: Product acquisition
Compound: raxibacumab
Company: Emergent BioSolutions (USA - MD) GSK (UK)
Therapeutic area: Infectious diseases
Type agreement: product acquisition
Action mechanism: monoclonal antibody. Raxibacumab is a monoclonal antibody that neutralizes toxins produced by B. anthracis that can cause massive and irreversible tissue injury and death. The monoclonal antibody was developed by Rockville, Md.-based Human Genome Sciences, in conjunction with the U.S. Department of Health and Human Services’ Biomedical Advanced Research and Development Authority. Human Genome Sciences has since been acquired by GSK.
Disease: anthrax
Details:
- • On July 20, 2017, Emergent BioSolutions announced that it has entered into an agreement with GSK to acquire raxibacumab approved by the FDA for the treatment and prophylaxis of inhalational anthrax.
- Emergent also plans to assume responsibility for a multi-year contract with the Biomedical Advanced Research and Development Authority (BARDA), valued at up to approximately $130 million, to supply the product to the U.S. Strategic National Stockpile (SNS). Emergent expects to purchase product from GSK to fulfill deliveries to the SNS under the current BARDA contract. In addition, Emergent intends to transfer all manufacturing related to raxibacumab to existing Emergent facilities in 2020. The company plans to transfer bulk manufacturing to its Bayview facility, also known as its Center for Innovation in Advanced Development and Manufacturing, where it is intended to serve as a commercial anchor product and the fill/finish process to its Camden facility. Both facilities are located in Baltimore, Maryland.
- The addition of this critical countermeasure further strengthens Emergent's leadership position in this market and expands its franchise of vaccines and therapeutics addressing Category A bioterrorism threats.
- This transaction is anticipated to close in 2017. Cowen is acting as financial advisor to Emergent in this transaction.
Financial terms:
- The all-cash transaction consists of a $76 million upfront payment and up to $20 million in product sale and manufacturing-related milestone payments, all of which would likely become due in 2019.
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Is general: Yes
