Sobi acquires Synagis® and other US rights from Astra Zeneca
On Tuesday 13 November 2018, Sobi entered into agreements to acquire the perpetual US rights to Synagis® from Astra Zeneca and to participate in 50% of future US earnings from candidate drug MEDI8897. The upfront consideration of approximately SEK 13.6 billion (comprising a USD 1 billion cash payment and USD 500 million of Sobi shares) is due at completion which is expected to occur during Q4 2018 or Q1 2019 following satisfaction of certain customary conditions and regulatory approvals.
In order to fund the cash component of the initial consideration, Sobi concurrently entered into new credit facilities made available by BNP Paribas, Danske Bank, Skandinaviska Enskilda Banken and Svenska Handelsbanken.
Upon completion, Astra Zeneca will hold 8.1 per cent. of the total share and votes in Sobi but shall be restricted from selling such shares for 12 months thereafter and prohibited from acquiring further shares in Sobi for a period of 18 month from completion.
About the transaction, Sobi President and CEO, Guido Oelkers, commented: "I am excited about adding Synagis to our portfolio as it remains the only product preventing RSV infection in this vulnerable patient group with a great medical need. The addition of Synagis will become an important strategic catalyst for Sobi's future development and will form a powerful platform for growth in rare diseases. We see the acquisition as a stepping stone to drive sustainable growth in the US and make Sobi more attractive for partnering. It also increases the overall Specialty Care franchise and diversifies our portfolio in Immunology. The expected earnings of this acquisition will increase the financial flexibility to support further growth initiatives".
Sobi is an international biopharmaceutical company dedicated to rare diseases. Its vision is to be recognised as a global leader in providing access to innovative treatments that transform lives for individuals with rare diseases. Sobi's product portfolio is primarily focused on treatments in Haemophilia and Specialty Care. Partnering in the development and commercialisation of products in specialty care is a key element of Sobi's strategy. Sobi has pioneered in biotechnology with world-class capabilities in protein biochemistry and biologics manufacturing.
Sobi was advised as to matters of Swedish law by Mannheimer Swartling.