Amylin deal: AZ steps in
10.08.2012 - AstraZeneca made an initial payment of approximately US$3.2bn to include Amylin’s portfolio of diabetes candidates into the joint diabetes alliance.
Bristol-Myers Squibb (BMS) has completed its acquisition of Amylin Pharmaceuticals worth US$5.3bn in cash. After getting hold of 85% of common stock of the company for US$31 per share, BMS has exercised its right to snap up the remaining stock and finalise the merger. The company plans to delist and de-register Amylin common stock as promptly as practicable following the effective time of the merger.
This triggered an initial payment of approximately US$3.2bn by the British-Swedish pharma company AstraZeneca, which already has a major diabetes partnership with BMS. AstraZeneca previously agreed to pay US$3.4bn for 50% of the profits from Amylin’s drugs. Additionally, AstraZeneca has opted to pay a further US$135m to get an equal say in certain key strategic and financial decisions regarding Amylin’s portfolio. This decision had been widely expected. It will become only effective, if applicable anti-trust and competition approvals are received by AstraZeneca.
Amylin's products for the fast-growing type 2 diabetes market included among others Byetta (exenatide) and the longer-acting version Bydureon. The original alliance had been focused on the development of the DPP-4 inhibitor Onglyza (saxagliptin), Kombliglyze (saxagliptin and metformin HCL extended-release), and the SGLT2 inhibitor Forxiga (idapagliflozin).http://www.european-biotechnology-news.com/news/news/2012-03/amylin-deal-az-steps-in.html