Cephalon To Acquire Gemin X Pharmaceuticals - Deal Analysis from GlobalData

Summary

In March 2011, Cephalon announced that it had signed an agreement to acquire the outstanding stock of Gemin X Pharmaceuticals, Inc., for $225m cash on a cash-free, debt-free basis. Gemin X stockholders could also receive up to $300m in cash payments subject to the achievement of certain regulatory and commercial milestones. The agreement is subject to customary closing conditions including the receiving of necessary regulatory approvals.

Gemin X is developing a pipeline of targeted cancer therapeutics based on reinitiating programmed forms of cell death, including apoptotic and autophagic cell death, and based on the inhibition of metabolism in cancerous cells. Gemin X's lead product candidate, obatoclax (GX15-070), is a pan Bcl-2 inhibitor with particular potency for the dominant protein Mcl-1 and is in a Phase 2b clinical trial for extensive stage small cell lung cancer (ES-SCLC). The trial is evaluating the safety and efficacy of obatoclax as a first line treatment in combination with standard chemotherapy.

Scope

- Details of the deal included the analysis of the acquisition of Gemin X Pharmaceuticals by Cephalon

Reasons to buy

- Identify key M&A trends in the pharmaceutical market
- Track competitor product portfolios and acquisition history
- Assess future outlook of the company