Takeda Puts Up a €520M Deal to Acquire TiGenix
Takeda Pharmaceutical has now put together a €520 million ($627 million) deal to acquire TiGenix which is expected to give the former full control of Cx601, a stem cell therapy that is closing in on a European approval in Crohn’s disease.
Cx601 is an allogeneic expanded adipose-derived stem cells (eASC) suspension formulated for local administration for treating patients who have had an inadequate response to a minimum of one conventional or biologic therapy.
The drug candidate is currently under a global, pivotal Phase III trial for US registration in non-active/mildly active luminal Crohn’s disease patients with complex perianal fistulas.
The buyout represents an 82% premium over TiGenix’s closing price prior to news of the deal broke. Investors who came on board over the past five years—when TiGenix’s share price struggled to stay above €1—will therefore turn a tidy profit. TiGenix traded significantly above €1.78 in the years immediately after its 2008 IPO but has languished well below that level for most of its time on public markets.
In return for its outlay, Takeda gains control of a drug that is set to receive approval in Europe in the first half ofthis year. Beyond that, Takeda has its sights on the completion of a phase 3 trial TiGenix initiated to support an approval in the U.S. And on the work it will need to undertake to bring the cell therapy to patients in Japan, Canada and emerging markets.
Takeda Pharmaceutical chief medical and scientific officer Andrew Plump said: “Limited treatment options exist today and I believe we can be most effective in serving this population by working in collaboration with partners whose unique skill sets allow us to more efficiently explore innovative approaches, including stem cell therapies.
“I have had the opportunity to work alongside the TiGenix team throughout our collaboration and know that we have shared goals and varied, but complementary expertise. I am thrilled at the prospect of welcoming them as part of our organisation.”