Date: 2014-07-02
Type of information: Company acquisition
Acquired company: Seragon Pharmaceuticals (USA - CA)
Acquiring company: Roche (Switzerland)
Amount: $725 million, plus additional contingent payments of up to $1 billion based on achievement of certain predetermined milestones
Terms: * On August 27, 2014, Seragon Pharmaceuticals has announced the closing of its acquisition by Genentech, a member of the Roche Group. Deal terms included $725 million in cash up front along with $1.0 billion in contingent development milestone payments for total transaction value up to $1.725 billion. The acquisition includes Seragon's entire selective estrogen receptor degrader (SERD) program, including its most advanced compound, ARN-810, a next generation SERD that is currently being evaluated in a Phase I trial in postmenopausal women with locally advanced or metastatic estrogen receptor positive (ER+) breast cancer. * On July 2, 2014, Roche announced that Genentech, a member of the Roche Group, has entered into a definitive agreement to acquire Seragon Pharmaceuticals. With this acquisition, Genentech obtains rights to Seragon’s entire portfolio of investigational next-generation oral selective estrogen receptor degraders (SERDs), for the potential treatment of hormone receptor-positive breast cancer. Under the terms of the agreement, Genentech will make an upfront cash payment of $725 million, plus additional contingent payments of up to $1 billion based on achievement of certain predetermined milestones. The closing of the transaction is subject to customary closing conditions, including clearance under the Hart-Scott-Rodino Antitrust Improvements Act. The transaction is expected to close in the third quarter of 2014. Once the transaction is completed, Seragon’s portfolio will be integrated into Genentech Research and Early Development.
Details: Seragon Pharmaceuticals is a privately held company located in San Diego, California. Founded in 2013, Seragon is focused on the development of selective estrogen receptor degraders (SERDs) for hormone receptor-driven cancers. This class of medicines is designed to both block estradiol action at the estrogen receptor and also eliminate the estrogen receptor from the cell altogether. Seragon’s lead product candidate, ARN-810, is a next-generation SERD that is currently in Phase I clinical trials for patients who have hormone receptor-positive breast cancer and have failed current hormonal agents. These next-generation SERDs complement Genentech’s existing research and development programs in breast cancer.
Related: Cancer - Oncology
