15.06.2012 - US pharma firm Upsher-Smith Laboratories makes a bid to acquire UK-based drug developer Proximagen
London/Cambridge/ Maple Grove – Upsher-Smith’s $553m bid to bag Proximagen Group plc will add two promising drugs to the portfolio of the generics maker. In detail, the US firm will pay $347 million for the 84% outstanding shares of Proximagen, a 16% premium on its share price before the bid. Additionally, milestones totalling $206 million will be paid in case of successful development of two pipeline compounds to the British firm.
RRX00933 is a vascular adhesion protein 1 blocker which is currently in safety testing. The plan is to develop the small molecule, which in pre-clinical work, blocked immune cells from entering inflamed tissue in autoimmune diseases such as rheumatoid arthritis and psoriasis. Upsher-Smith said that it plans to license the compound to a partner after successful completion of Phase II testing next year. The second compound, dubbed PRX00933 (BVT.933, GW876167), which was obtained by Swedish Biovitrum, targets the Serotonin (5-HT2C) receptor and has already completed Phase II testing as an diabetes and obesity treatment.
On top of this, the acquisition provides the US firm with a pipeline of four CNS projects. The compounds may complement a late-stage project of the US firm in epilepsy.