Pharma/Biotech Acquisitions from Elsevier Business Intelligence

[Oncogene Science] buys UK discovery firm [Aston]

Sun, 01 Sep 1996 00:00:00 -0400

NY biotech [Oncogene Science] has acquired all the shares of [Aston Molecules Ltd.] (drug discovery and development services firm in Birmingham, UK] for 284,000 shares of OSI common stock (worth about $2.6mm). The shares represent about 1% of OSI's outstanding stock. The technologies in combinatorial chemistry that Aston has been developing will allow OSI to optimize lead compounds that it discovers in-house through its live-cell based screeningsystems. A chemistry team at Aston will generate small molecule libraries for use in screening and in lead optimization. OSI works in drug discovery and development for diseases associated with abnormalities of cellular control, such as cancers and atherosclerosis. The two companies have been partners for over two years in medicinal chemistry projects, including the search for drugs effective against leukemia. Aston will be OSI's wholly owned subsidiary and will continue to operate in Birmingham under its existing management; it will still sell services outside medicinal chemistry to other companies.

[EntreMed] subsidiary buys [Innovative]

Mon, 01 Jul 1996 00:00:00 -0400

[EntreMed Inc.] has created a subsidiary, [Cytokine Sciences Inc.] (developing therapeutics based on the role white blood cells play in specific immune responses), to acquire the assets of [Innovative Therapeutics Inc.] (researching cellular immunity). EM gave ITI's owners 15% of Cytokine's stock; it will contribute $250,000 cash to Cytokine and pay the 85%-owned business $1.6mm in research funding over two years (plus, at EM's option, a further $1.5mm in year three). ITI, whose president will be president at Cytokine, does early-stage research about specific cellular immunity as a route to discovering treatments for infectious disease. Before the acquisition, EM had licensed exclusive rights to ITI's herpes-specific factor (early preclinical) and has so far paid ITI $0.8mm for sponsored research; now, as Cytokine, the unit will expand its research to other infectious diseases. EM develops products based on the relationship of blood and blood vessels to health and disease; it inlicenses technologies developed through sponsored programs at research organizations, government labs, and small research companies.

[Houghten] will buy combinatorial biology company [ChromaXome]

Sat, 01 Jun 1996 00:00:00 -0400

[Houghten Pharmaceuticals] (combinatorial chemistry) agreed to acquire private biotech [ChromaXome], which calls its specialty combinatorial biology. HP will pay with a guaranteed 216,000 shares of common stock ($8.50 per share pre-announcement). Earnout payments of up to 432,000 more shares, based on milestones, could raise the value to $5.5mm. Combinatorial biology means splicing DNA from hard to access sources like marine microorganisms into common industrial bugs like E. coli and fungi; in the host organism, the splices produce new chemicals that may result in drug leads. Last year the companies had formed a collaboration to develop new methods for generating libraries of small molecules to test. Both have corporate partners: CX has an alliance that allows [Bristol-Myers Squibb] to generate compounds from its own library using CX's technology; HP's deals link it to [Novo Nordisk], [P&G], [Immunex], and [Cadus]. When it becomes HP's wholly owned subsidiary, CX will bring its in-house inventory of terrestrial and marine microbes, expanding HP's combinatorial chemistry diversity program. HP's success in going public ($27.5mm, 3/96) helped convince CX's management to agree to the acquisition.

[Telor Ophthalmic] merges with [Occupational Health]

Sat, 01 Jun 1996 00:00:00 -0400

After the failure of its lead drug in Phase III trials, [Telor Ophthalmic Pharmaceuticals] announced it will discontinue its drug development program and enter a reverse merger with [Occupational Health + Rehabilitation Inc]. Upon completion of the merger, the surviving business will be that of Occupational Health. Occupational Health operates nine outpatient centers in the Northeast which treat work-related injuries and illnesses. Founded in 1992, it had a netloss for fiscal 1994 of $1.4 million, and revenues of $2.6 million. Telor has cash or cash equivalent assets of $6.4 million, and still hopes to find a partner to co-develop its one surviving drug candidate, EY-128, which had positive results in Phase I/II trials for surgical miosis.

[Caliper Technologies] acquires [ChemCore Inc.]

Wed, 01 May 1996 00:00:00 -0400

[Caliper Technologies] (Palo Alto, CA; microchip chemistry) announced the acquisition of [ChemCore Corp.] (Malvern Pa; chip diagnostics), a privately-held firm developing point-of-care testing systems with microchip technology. ChemCore was founded in January 1994 with $1.5mm from Aspen Venture Partners, CIP Capital, and Perkin Elmer. Its proprietary technology in the application of micro-miniaturization to clinical diagnosis was developed by Drs. Peter Wilding and Larry J. Kricka at the University of Pennsylvania, who will serve Caliper as scientific advisors. ChemCore's products under development for small, quick point-of-care tests included {PCRChip}--for nucleotide amplification, {ImmunoChip}--for immunodiagnostics, and {IVFChip}-for sperm motility testing. ChemCore held four issued patents, and several patents pending on chip technologies including a methods patent covering chip-based nucleic acid amplification (eg PCR). ChemCore entered a DNA amplification development agreement in June 1994 with the [Applied Biosystems] division of [Perkin-Elmer], which got options to exclusive license of micro-products for non-diagnostic applications, and nonexclusive rights toertain {in vitro} diagnostic applications. Caliper, which did not release financial details on the acquisition, is developing a family of miniature chip-based tools for biochemical analysis using liquid circuit technology. Initial agreement reached 1/96.

[Centeon] to acquire [Ohmeda]'s [Delta Biotechnology] for $45mm

Wed, 01 May 1996 00:00:00 -0400

[RPR] and [Hoechst]'s plasma products joint venture [Centeon] will pay $45mm over two years to acquire [BOC Group] unit [Ohmeda]'s recombinant albumin-focused subsidiary [Delta Biotechnology]. Centeon, which markets human albumin for indications in plasma replacement therapy, will have access to recombinant human albumin production methods via the acquisition. Recombinant human albumin may also have applications in the production of other biotech therapeutics and as a drug delivery vehicle. BOC had acquired Delta from [Bass] and [Stroh Brewery] for $41mm in 1991 to operate as a unit of its critical care supply unit Ohmeda (then Anaquest).

[HemaSure] buys plasma pharmaceuticals unit from [Novo Nordisk]

Wed, 01 May 1996 00:00:00 -0400

[HemaSure] (blood filtration and inactivation of pathogens in donated blood) is buying the plasma products unit (pharmaceuticals made from plasma proteins) of [Novo Nordisk] for total consideration of about $22.8mm. HemaSure will pay $1.8mm (or, at its option, about 100,000 shares of common stock) in 1988 for raw materials acquired; $13mm for inventory ($4mm of that forgivable under certain circumstances); and a 1998 contingency payment of $8mm (cash or 440,000 shares) if specified conditions are met. HemaSure plans to expand its {SteriPath} blood pathogen inactivation technology for use in the pharmaceutical sector, using the estalished manufacturing facility it is acquiring in this deal to develop {SteriPath} for the manufacture of pharmaceuticals based on plasma, a $5bn market worldwide. It hopes both to sell the products and to license the technology to other manufacturers. {SteriPath} removes leukocytes, inactivates pathogens, and then removes the inactivation chemicals. HemaSure expects to file the Investigational Device Exemption for the system later this year.

[Sandoz] buys for rest of [SyStemix] for $75.6mm

Wed, 01 May 1996 00:00:00 -0400

[Sandoz] made an unsolicited bid for the 27% of SyStemix (stem cell-based gene therapy) it doesn't already own, offering $17 per share, a 55% premium to its pre-offer price. In early 1992 Sandoz purchased 60% of SyStemix at $65 per share. Its current bid requires the approval of the 3 independent members of SyStemix's 11 member board (Sandoz has 6 members), but doesn't need shareholder approval. SyStemix has 2R&D programs, both based on disease-free stem cells. Stem cells can self-renew into all of the cells of the blood and immune system. One program focuses o n HIV, using gene-modified stem cells, with clinical trials scheduled to begin thisyear. The second technology uses stem cells to produce blood cells in cancer patients following radiation treatments (in Phase I/II trials in multiple myeloma patients) and in patients with autoimmune disorders.

[Genzyme] to acquire OR supplier [Deknatel] for $250mm

Wed, 01 May 1996 00:00:00 -0400

To establish a marketing presence for its recently-approved post-surgical adhesion products, [Genzyme] will acquire surgical products supplier [Deknatel Snowden Pencer] for $250mm in cash. DSP is the leading supplier of chest drainage products to the surgical market; its drainage products include {Pleur-evac} and {Thora-Klex}. The company also markets a full line of endoscopic and surgical instruments, and posted revenues of$95.3 million in 1995. Genzyme plans to close the acquisition by the end of June. It received US marketing approval for {Seprafilm}, its lead post-surgical adhesion preventing product, earlier this year and has launched it in Europe. A PMAfiled for a follow-on product, {Sepracoat}, will receive expedited FDA review.

[Oncogene Science] buys microorganism expert [Mycosearch]