November 24, 2014
By Mark Terry, BioSpace.com Breaking News Staff
San Rafael, Calif.-based BioMarin Pharmaceutical Inc. , announced today that it has agreed to buy ProSensa Holding N.V. for a total of about $840 million. The deal has an upfront share value of about $680 million with two $80 million contingent milestones payments based on approvals for the company’s Duchennne muscular dystrophy (DMD) drug candidate, drisapersen.
The details of the agreement have BioMarin buying all of Prosena’s issued and outstanding shares and all ordinary share equivalents with cash for $17.75 per share. Two additional regulatory milestones apply, the first for U.S. approval of drisapersen in the U.S. no later than May 15, 2016, and the second for approval in Europe no later than Feb. 15, 2017. BioMarin will also acquire a $50 million convertible note from Prosensa.
BioMarin will maintain operations at Prosensa’s headquarters in Leiden, The Netherlands. This would suggest that there will be, to some extent, some tax inversion involved, although currently no details are available.
“BioMarin is dedicated to the rare disease community, and the acquisition of Prosensa fits strategically with our mission of delivering therapies that address serious unmet medical needs,” said Jean-Jacques Bienaimé, BioMarin CEO in a statement. “We are committed to working closely with regulatory authorities worldwide in bringing a potentially breakthrough therapy to patients with this devastating condition.”
As part of the agreement, BioMarin will gain worldwide rights to several orphan-drug candidates. They are currently under rolling review with the U.S. Food and Drug Administration as part of a New Drug Application (NDA). Prosensa utilizes a proprietary RNA-modulating technology platform for the treatment of several different genotypes of Duchenne muscular dystrophy and other genetic disorders.
“BioMarin has established itself as a leader in rare diseases, characterized by strong management, thorough execution, and a resounding commitment to patients in developing and commercializing treatments where there is a high unmet medical need,” said Prosensa Chief Executive Officer Hans Schikan in a statement. “This transaction will enhance Prosensa’s mission by bringing innovative therapies to patients across the world as quickly and efficiently as possible. The deal also creates shareholder value by positioning Prosensa’s strong portfolio of orphan drug candidates for future success with a prominent rare disease company that has the experience and dedication to bring drisapersen and our follow-on compounds to the hands of patients who desperately need them.”
The deal is expected to close in the first quarter of 2015.
