Millennium Pharmaceuticals entered into an agreement to acquire AnorMED, a Canada-based biopharmaceutical company with a late-stage Phase III hematology-oncology product, Mozobil.
Under the terms of the agreement approved by the boards of directors of both companies and the largest shareholder of AnorMED, Millennium will commence, within 10 days, a cash tender offer to acquire AnorMED stock sharesat $12 per outstanding share, for a total purchase price of approximately $515 million.
Mozobil, currently in late-stage Phase III clinical development, is anticipated to be launched in the U.S. in 2008, subject to successful completion of clinical trials and regulatory approval. Mozobil, a small molecule CXCR4 chemokine antagonist, works by releasing stem cells from the bone marrow into circulation, improving the ability to collect the stem cells for transplant, according to the company.
“Mozobil is an excellent strategic fit with Millennium’s focus in hematology-oncology, where our product Velcade leads the market in treating patients with relapsed multiple myeloma,” says Deborah Dunsire, M.D., president and CEO at Millennium. “This proposed acquisition is aligned with our goal to bring in products that accelerate revenue growth, leverage our oncology sales infrastructure, and benefit from our development, regulatory, and commercial expertise. ”