Amgen has agreed to acquire Ilypsa, a private company developing non-absorbed drugs for renal disorders. Ilypsa's lead drug candidate, ILY101, is a phosphate binder for the treatment of hyperphosphatemia in chronic kidney disease (CKD) patients on hemodialysis.

Under terms of the agreement, Amgen will pay $420 million in cash to acquire Ilypsa. Following completion of the transaction, Ilypsa will become a wholly-owned subsidiary of Amgen. The acquisition has been approved by the boards of directors of each company and the shareholders of Ilypsa. It is subject to customary closing conditions, including regulatory approvals, and is expected to close in the third quarter of 2007.

"Amgen is dedicated to developing medicines that improve the lives of patients around the world. Ilypsa and ILY101 are a strategic fit for Amgen's nephrology portfolio and further demonstrate our commitment to explore, develop and commercialise promising therapies that help in the fight against kidney disease and its complications," said George J Morrow, Amgen's executive vice president of global commercial operations.

"We are delighted to reach an agreement with Amgen that will help drive Ilypsa's most promising therapeutic program closer to commercialisation as an important new option for patients," said Jay Shepard, president and chief executive officer of Ilypsa.

"I am proud of the talented team at Ilypsa and believe Amgen offers a promising future for our extraordinary drug candidates."

ILY101 is an orally administered, non-absorbed polymeric agent that works by preventing the absorption of ingested phosphate. Studies suggest that ILY101 may have enhanced phosphate binding selectivity and capacity compared to currently available polymeric phosphate binding agents. ILY101 has completed phase II trials in patients with CKD who are on hemodialysis.