2nd Nov 2015 11:20
LONDON (Alliance News) - Irish pharmaceuticals group Shire PLC on Monday said it has struck a USD5.9 billion deal to acquire Dyax Corp, a US-based biotechnology company focused on developing treatments for hereditary angiodema.
FTSE 100-listed Shire will pay USD5.9 billion in cash upfront to buy Dyax, with a further USD646.0 million payable upon the approval of its DX-2930 drug.
DX-2930 is a phase 3-ready asset which uses plasma kallikrein inhibitors to treat hereditary angiodema, a rare genetic disease. Data from previous studies on the drug showed a reduction in hereditary angiodema attacks in excess of 90% compared to placebo in patients who have suffered more than two attacks in the three months prior to entering the study.
The drug has received Fast Track, Breakthrough Therapy, and Orphan Drug designations from the US Federal and Drug Administration and has received Orphan Drug status in the European Union.
It is expected to move to phase 3 clinical trials by the end of 2015 and, if approved, Shire said its estimated global annual sales could be up to USD2.0 billion. Shire expects significant earnings accretion from the acquisition assuming DX-2930 secures approval in the US and launches by 2018.
It adds to Shire's existing hereditary angiodema portfolio, which already includes the Firazyr and Cinryze treatments.
"This highly complementary transaction aligns with and accelerates our strategy to build a global leading biotechnology company focused on rare diseases and specialty conditions. It adds to our portfolio of best-in-class therapies addressing unmet needs in our core therapeutic areas, expanding and extending our leadership position in HAE," said Chief Executive Flemming Ornskov.
"DX-2930 is a strategic fit within our HAE domain expertise, and we are well-positioned to advance the development, registration, and commercialization of DX-2930 for the benefit of HAE patients. This transaction also offers other potential upside opportunities, including Dyax's early-stage pipeline," he added.
Shares in Shire were down 0.8% to 4,884.00 pence on Monday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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