Earlier this week the French pharmaceutical company Servier, announced that it has entered into a definitive agreement with Shire, a leading global biotechnology company focused on rare diseases, to acquire its Oncology business for $2.4 billion. The transaction is expected to be finalized in the second or third quarter of 2018 after obtaining authorizations from the competent competition authorities.
The acquisition allows Servier, which has its global headquarters in Suresnes, near Paris, and is governed by a non-profit foundation, to establish an immediate and direct commercial presence in the United States, the world?s leading biopharmaceuticals market. Outside of the United States, where Servier is already present, the transaction significantly strengthens the Group?s oncology pipeline and portfolio of in-market drugs.
The transaction covers the transfer of Shire?s Oncology business including in-market products pegaspargase (ONCASPAR?), a component of multi-agent treatment for acute lymphoblastic leukemia (ALL) and ex-U.S. rights to irinotecan pegylated liposomal formulation (ONIVYDE?), a component of multi-agent treatment for metastatic pancreatic cancer post gemcitabine based therapy.
The portfolio also includes two early stage immuno-oncology pipeline collaborations. Servier?s products will be commercialized in the United States through a newly-created subsidiary, SERVIER Pharmaceuticals LLC.
?The acquisition of Shire?s oncology franchise enables Servier to meet its strategic ambitions to become a key player in oncology globally. It is a major step in the transformation of the Group, allowing us to establish a direct commercial presence in the US, as well as to strengthen our portfolio of marketed products in the ex-US territories where Servier is already present. Our goal is to bring these life-saving treatments to greater numbers of cancer patients around the world?, said Olivier Laureau, President of Servier Group.
?We thoroughly look forward to welcoming Shire?s dedicated oncology teams who will join Servier after the closing,? Laureau added.
?This transaction is a key milestone for Shire, demonstrating the clear value embedded in our portfolio. While the Oncology business has delivered high growth and profitability, we have concluded that it is not core to Shire?s longer-term strategy. We will continue to evaluate our portfolio for opportunities to unlock further value and sharpen our focus on rare disease leadership with selective disposals of non-strategic assets,? noted Flemming ?rnskov, M.D., M.P.H., Shire Chief Executive Officer.
Servier is already present in the United States through several agreements with private and public partners and the Servier BioInnovation office. Located in the heart of Cambridge?s global life sciences hub. This new facility, opened in February 2018, is dedicated to identifying new R&D opportunities and intensifying Business Development & Licensing (BD&L) activities in the United States.
With a presence in 148 countries, Servier has a turnover of 4.152 billion euros in 2017. The company, employs 21,600 people worldwide.
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