The transaction is expected to further strengthen Sobi’s position in haematology and orphan diseases and expand its presence in the US
Image: Sobi agreed to to acquire Dova Pharmaceuticals for £773m. Photo: Courtesy of Akshay93 from Pixabay.
Swedish Orphan Biovitrum (Sobi) has signed an agreement to acquire US-based clinical-stage biopharmaceutical company Dova for up to $915m (£747m) to expand its operations in the US.
Under the agreement, Dova stockholders will receive a payment of $27.50 (£22.30) per share in cash, along with one non-tradeable Contingent Value Right (CVR), that enables receiving an additional $1.50 (£1.2) per share in cash upon regulatory approval of DOPTELET for the treatment of chemotherapy-induced thrombocytopenia (CIT).
Sobi president and chief executive officer Guido Oelkers said: “The cadence of upcoming launches and approvals across indications and regions that Doptelet provides, enables us to further accelerate growth in our haematology franchise.
“There is a large unmet medical need within thrombocytopenia and for us this is a great opportunity to be able to give patients access to new and improved treatments. Furthermore, we are excited to welcome the 125 professionals from Dova who will greatly strengthen Sobi’s haematology infrastructure and broaden our value chain in the US.”
Details of the transaction
The proposed transaction is expected to further strengthen Sobi’s position in hematology and orphan diseases and expand its presence in the US. Sobi intends to make use of its international operations to maximize the availability and commercial potential of DOPTELET across the world.
The transaction is pending customary closing conditions, including the tender of more than 50% of all shares of Dova outstanding at the expiration of the offer and termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act.
The board of directors of both the companies have unanimously approved the acquisition of Dova Pharmaceuticals by Sobi, and is expected to be completed in the final quarter of 2019.
For the transaction, Jefferies served as lead financial advisor to Dova Pharmaceuticals, and Evercore served as a financial advisor and Cooley is serving as legal advisor to Dova Pharmaceuticals.
Dova PharmD president and chief executive officer David Zaccardelli said: “We are extremely pleased to announce this merger with Sobi, which we believe will continue the expansion of DOPTELET in the U.S., and provide the necessary resources to maximize DOPTELET’s availability to patients in both the US and internationally.
“On behalf of the Board of Directors, I’d like to thank our employees and shareholders for their continued support and dedication to our mission of providing novel and effective therapeutic options for patients with thrombocytopenia; we believe Sobi is ideally positioned to continue that mission.”