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Denmark/UK: Baxalta signs off on $32 billion deal

By  |  January 4, 2016
 

Baxalta Inc. has agreed to pay Danish biotechnology company Symphogen A/S up to $1.6 billion for the rights to co-develop six experimental cancer drugs, as it nears a multibillion-dollar takeover deal with Shire PLC.

Deerfield, Ill.-based Baxalta is in advanced talks for Dublin-based Shire to take it over in a deal worth up to $ 32.6 billion, according to a person familiar with the matter, who said an agreement could be announced later this week.

In the past week, the two companies have been discussing a cash-and-stock deal with a per-share value of up to $48, according to the person, who added that some details still needed to be ironed out and an agreement wasn’t certain.
In the Symphogen transaction announced Monday, Baxalta said it would pay the closely held Danish company $175 million upfront for the exclusive rights to co-develop and commercialize the six early-stage drugs. It then would make milestone payments worth up to $1.4 billion should the drugs successfully complete clinical trials and win regulatory approval.
The companies expect the most advanced of the drugs to enter human trials in 2017.

Full content: The Wall Street Journal

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