Ligand Pharmaceuticals has entered into a merger agreement to acquire Pharmacopeia, in an all-stock deal valued at $70 million. In addition to the share value, Pharmacopeia stockholders will be entitled to a Contingent Value Right (“CVR”) that entitles a cash payment of $15 million for all Pharmacopeia stockholders, under certain circumstances.

“We are very excited about combining Pharmacopeia with Ligand,” said John L. Higgins, president and chief executive officer of Ligand. “Ligand stockholders will gain access to numerous royalty partnerships, additional pipeline assets, drug discovery resources and cash and NOLs. Pharmacopeia’s shareholders will receive a substantial amount of equity in a well capitalized company with lucrative potential royalties, an expanded pipeline and financial liquidity."

He added, "This is a unique opportunity for Ligand and Pharmacopeia shareholders. Both companies have similar growth strategies, and our respective drug discovery platforms are a great marriage of biology and chemistry resources. The acquisition of Pharmacopeia will complement and accelerate our product development programs, strengthen our research capability and increase our potential royalty streams.”

Joseph A. Mollica, Ph.D., chairman, interim president and chief executive officer of Pharmacopeia, stated, “Pharmacopeia’s portfolio of programs is an excellent complement to Ligand’s pipeline and over the next decade we believe the combined company will have important product introductions. On behalf of our Board, I would like to thank all of our employees for the dedication they have shown in pursuit of our scientific goals and the value they have created for our shareholders. We are excited about this transaction and look forward to sharing in the potential upside of the combined businesses by joining forces with a strong company like Ligand.”

Under the terms of the agreement, Ligand shareholders will own 84% of the combined company and Pharmacopeia stockholders would own approximately 16%. The transaction is expected to close by 1Q09.

Lonza and Crucell have entered into a co-exclusive manufacturing, sales and distribution agreement related to the Permexcis cell culture medium developed by Crucell for PER.C6 cells. Under this agreement, Lonza will manufacture the medium, and in addition will market and sell it on a global basis. Financial details of the agreement were not disclosed.

The Permexcis medium is a chemically defined cell culture medium that does not contain human- or animal-derived components. Permexcis medium was developed for the cultivation of PER.C6 cells and has been designed for use in the large-scale manufacture of biopharmaceutical products, including vaccines, according to a Crucell statement.

"We are pleased to have entered into this agreement with Lonza. The agreement demonstrates the power and robustness of our PER.C6 technology. Over 60 companies and organizations have already selected our PER.C6 technology to develop their own products across a wide range of therapeutic areas. We are proud that Lonza will manufacture the Permexcis cell culture medium and in addition will market and sell it globally" said Ronald Brus, Crucell's chief executive officer.

Merck and Japan Tobacco Inc. (JT) have signed a worldwide licensing agreement to develop and commercialize JTT-305, an investigational oral osteoanabolic (bone growth stimulating) agent for the treatment of osteoporosis.

Merck will gain worldwide rights, except for Japan, to develop and commercialize JTT-305. JT will receive an upfront payment and is eligible to receive additional cash payments upon achievement of certain development milestones associated and product royalties.

JTT-305 is an oral calcium sensing receptor (CaSR) antagonist that is currently being evaluated by JT in Phase II clinical trials in Japan for its effect on increasing bone density; it is in Phase I clinical trials outside of Japan.

“Through this agreement with Merck, JT is well positioned to maximize the therapeutic potential for JTT-305 as a possible future option for patients with osteoporosis,” said Noriaki Okubo, president of JT’s pharmaceutical business.

"Partnering with JT to develop this novel compound complements Merck's portfolio of musculoskeletal drug candidates," said Alan B. Ezekowitz, MBChB, D.Phil., senior vice president and franchise head, Bone, Respiratory, Immunology, and Endocrine, Merck Research Laboratories. "In the future, we believe that use of antiresorptive and osteoanabolic agents together may provide an effective way to reduce the risk of fractures in patients with osteoporosis."

News from our sister sites