Pharmaceutical company Servier has agreed to acquire oncology business from Agios Pharmaceuticals for up to $2bn.
The deal, which covers commercial, clinical and research-stage oncology portfolio, consists of an upfront payment of $1.8bn. Agios is also eligible to secure up to $200m in regulatory milestone payments and royalties.
The acquisition of Agios’ oncology business will enable Servier to expand its product portfolio and drug development pipeline in oncology.
Under the deal, Agios’ oncology portfolio and associated employees will be transferred to Servier.
The deal also covers Agios’ marketed medicine Tibsovo, which has approval in the US as monotherapy to treat adults with IDH1-mutant relapsed or refractory acute myeloid leukemia (AML).
Agios’ medicine was also approved for adults with newly diagnosed IDH1-mutant AML who are ≥75 years old or who have comorbidities that preclude the use of intensive induction chemotherapy.
Tibsovo is also being assessed in two phase 3 combination trials in newly diagnosed AML, in addition to as a potential treatment for previously treated IDH1-mutant cholangiocarcinoma and IDH1-mutant myelodysplastic syndrome (MDS).
Servier will also purchase Agios’ co-commercialisation responsibilities for Bristol Myers Squibb’s IDHIFA (enasidenib) and carry out certain clinical development activities within the IDHIFA development programme.
The transaction also consists of Agios’ oncology pipeline and clinical programmes, including vorasidenib, AG-270 and AG-636.
Vorasidenib is an investigational, brain-penetrant and dual inhibitor of mutant IDH1 and IDH2 which is currently being assessed in the registration-enabling phase 3 INDIGO study in patients with IDH-mutant low-grade glioma.
The AG-270 is an investigational first-in-class methionine adenosyltransferase 2a (MAT2A) inhibitor being assessed in combination with taxanes in patients with methylthioadenosine phosphorylase (MTAP)-deleted non-small cell lung cancer and pancreatic cancer, while AG-636 is a novel inhibitor of dihydroorotate dehydrogenase (DHODH).
Servier president Olivier Laureau said: “The strategic acquisition of Agios’ oncology business, including its precision medicine portfolio and pipeline, is aligned with our ambition to become a recognized player in oncology and further supports our commitment to provide innovative treatments to cancer patients with unmet medical needs.”
Subject to receipt of regulatory clearances and approval by Agios’ shareholders, the deal is expected to be completed in the second quarter of 2021.
Lazard is acting as sole financial advisor to Servier for the transaction, while Baker McKenzie is serving as a legal counsel.