US-based biopharmaceutical company Vertex has signed a definitive agreement to acquire Semma Therapeutics, a USK-based biotechnology company, for $950m (£780m) in cash.
Image: Vertex to acquire Semma Therapeutics to develop treatments for Type 1 Diabetes. Photo: Courtesy of Steve Buissinne from Pixabay.
Semma is engaged in developing stem cell-derived human islets used as a curative treatment for patients who currently depend on insulin injections for Type 1 Diabetes.
Vertex chairman, president and chief executive officer Jeffrey Leiden said: “This acquisition aligns perfectly with our strategy of investing in scientific innovation to create transformative medicines for people with serious diseases in specialty markets.
“We are excited to work with the talented scientists at Semma to build on their significant progress toward providing effective and potentially curative cell therapy options for people living with type 1 diabetes.”
Semma produces large quantities of functional human pancreatic beta cells
Vertex said that Semma has achieved the capability to produce large quantities of functional human pancreatic beta cells that restore insulin secretion and ameliorate hypoglycemia in animal models.
In addition, it has developed a novel device that encapsulates and protects the produced cells from the immune system for durable implantation, avoiding the need for ongoing immunosuppressive therapy.
Under transaction terms, Vertex would acquire all outstanding shares of Semma for $950m (£780m) in cash, and Semma would serve as a separate operating subsidiary of Vertex.
In addition, Vertex would appoint Dr Sanna as president of Semma and Dr Melton will continue in his role as Semma’s Scientific Advisory Board chair, to guide the research and development of the programmes.
The transaction is expected to be closed in the fourth quarter of 2019, subject to the fulfilment of closing conditions, including the completion of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and other customary conditions.
Semma president and chief executive officer Bastiano Sanna said: “Type 1 diabetes is a disease that afflicts millions of people worldwide and has no curative therapies available.
“Vertex has a proven track record of serial innovation and a deep commitment to developing transformative therapies for patients in need. Being a part of Vertex will allow the Semma team to rapidly and effectively advance our cell therapy and delivery approaches to patients who need them.”