Triggers approximately $ 150 million upfront payment to Caelum shareholders, of which approximately $ 64 million is payable to Fortress Biotech1
New York, NY and Bordentown, NJ – October 6, 2021 – Fortress Biotech, Inc. (NASDAQ: FBIO) (“Fortress”), an innovative biopharmaceutical company focused on the acquisition, development and commercialization or monetization of promising biopharmaceuticals and product candidates on a cost-effective basis, and a company she founded, Caelum Biosciences, Inc. (“Caelum”), a biotechnology company developing treatments for rare and life-threatening diseases with two ongoing Phase 3 clinical trials, today announced the closing of the ‘acquisition of Caelum by AstraZeneca, pursuant to the development, option and share purchase agreement between Fortress, Caelum, Alexion of AstraZeneca and other parties involved (as amended, the “DOSPA”) .
AstraZeneca acquired Caelum for the agreed option exercise price of approximately $ 150 million. Distributions will be made to all existing shareholders of Caelum. The agreement also provides for potential additional payments to Caelum shareholders totaling up to $ 350 million, payable upon completion of regulatory and commercial milestones.
Fortress is eligible to receive approximately 43 percent of all proceeds from the transaction.
About Forteresse Biotech
Fortress Biotech, Inc. (“Fortress”) is an innovative biopharmaceutical company that was ranked in Deloitte’s 2019 and 2020 Technology Fast 500 ™ rankings, the annual rankings of the fastest growing North American companies in the fields of technology, media, telecommunications, life sciences and energy. technology sectors, based on percentages of revenue growth for the year over three-year periods. Fortress is focused on the acquisition, development and commercialization of drugs and drug candidates with high commercialized potential and in the development phase. The company has seven commercialized prescription pharmaceuticals and more than 25 programs in development at Fortress, its majority and majority-controlled partners and partners it has founded and in which it has significant minority interests. These product candidates cover six major market areas, including oncology, rare diseases and gene therapy, which enables it to create shareholder value. Fortress advances its diverse pipeline through a streamlined operating structure that promotes efficient drug development. The Fortress model is driven by a world-class business development team who are focused on leveraging their significant expertise in the biopharmaceutical industry to further expand the company’s portfolio of product opportunities. Fortress has partnered with some of the world’s leading academic research institutions and biopharmaceutical companies to maximize every opportunity to its full potential, including Alexion Pharmaceuticals, Inc., AstraZeneca, City of Hope, Fred Hutchinson Cancer Research Center, St. Jude Children’s Research Hospital, Nationwide Children’s Hospital, and Sentyl Therapeutics, Inc. For more information, visit www.forteressebiotech.com.
1 Ten percent of the initial option exercise fee would be held in escrow to meet potential indemnification obligations, if any.
About Caelum Biosciences
Caelum Biosciences, Inc. (“Caelum”) is a clinical-stage biotechnology company that develops treatments for rare and life-threatening diseases. Caelum’s main active ingredient, CAEL-101, is a novel antibody for the treatment of patients with light chain amyloidosis (“LA”). In 2019, Caelum entered into a collaboration agreement with Alexion Pharmaceuticals, Inc. (“Alexion”) under which Alexion acquired a minority stake in Caelum and an exclusive option to acquire the remaining capital of the company. In July 2021, Alexion was acquired by AstraZeneca, triggering a six-month period during which AstraZeneca had the option to acquire Caelum. Caelum was acquired by AstraZeneca on October 5, 2021. Caelum was founded by Fortress Biotech, Inc. (NASDAQ: FBIO). For more information visit www.caelumbio.com.
This press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended. As used below and throughout this press release, the words “we”, “our” and “our” may refer to Fortress individually or in conjunction with one or more partner companies, as the context requires. Such statements include, without limitation, any statement relating to our growth strategy and product development programs and any other statements which are not historical facts. Forward-looking statements are based on management’s current expectations and are subject to risks and uncertainties that could adversely affect our business, results of operations, financial condition and the price of our shares. Factors that could cause actual results to differ materially from those currently anticipated include: risks related to our growth strategy; our ability to secure, execute and maintain funding and strategic agreements and relationships; risks related to the results of research and development activities; uncertainties relating to preclinical and clinical trials; risks associated with the timing of the initiation and completion of clinical trials; our dependence on third party suppliers; the risks associated with the COVID-19 epidemic and its potential impact on the ability of our employees and consultants to complete work on time and on our ability to obtain additional financing on favorable terms or not at all; our ability to attract, integrate and retain key personnel; the initial stage of products under development; our need for substantial additional funds; government regulations; patent and intellectual property issues; competetion; as well as other risks described in our filings with the SEC. We expressly disclaim any obligation or commitment to publicly release any update or revision to any forward-looking statement contained herein to reflect any change in our expectations or any change in the events, conditions or circumstances upon which such statement is based, except to the extent that may be required by law, and we claim safe harbor protection for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The information contained in this document is intended for your consideration. in their entirety, as well as any stipulations, conditions or reservations which apply to any information given in any part of this press release should be read as applicable mutatis mutandis to all other cases such information appearing here.
Company details :
Jaclyn Jaffe and Bill Begien
Forteresse Biotech, Inc.
Contact person for media relations:
Forteresse Biotech Inc. published this content on 06 October 2021 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on 06 October 2021 20:16:04 UTC.