Amgen and Group, Inc. announced that the companies have entered into a definitive acquisition agreement under which Amgen has agreed to acquire BioVex Group, Inc., a privately held, venture-funded, biotechnology company headquartered in Woburn, Massachusetts. BioVex is developing OncoVEX (GM-CSF), a novel oncolytic vaccine in phase III clinical development that may represent a new approach to treating melanoma and head and neck cancer.
Under terms of the agreement, Amgen will pay up to $1 billion: $425 million in cash at closing and up to $575 million in additional payments upon the achievement of certain regulatory and sales milestones. The transaction has been approved by the boards of directors of each company. It is subject to customary closing conditions, including regulatory approvals, and is expected to close in the first quarter of 2011. Following the completion of the transaction, BioVex will become a wholly owned subsidiary of Amgen.
“OncoVex has demonstrated encouraging anti-tumour activity in clinical studies for the treatment of melanoma and head and neck cancer, and BioVex is currently enrolling patients into pivotal phase III trials in both indications,” said Roger M. Perlmutter, MD, PhD, Amgen's executive vice president, Research and Development. “Amgen is particularly excited about joining with BioVex and its talented staff to focus on advancing this late-stage investigational therapy, with the hope of bringing it to market within the next few years.”
“Amgen is ideally positioned to leverage the potential of OncoVEX in multiple solid tumour indications given their impressive oncology franchise and expertise in biologics manufacturing and development,” said Philip Astley-Sparke, chief executive officer of BioVex. “We have a shared vision and commitment to bring novel therapeutics to market and we are looking forward to being able to combine our efforts towards this common goal.”
Amgen discovers, develops, manufactures, and delivers innovative human therapeutics. Amgen therapeutics have changed the practice of medicine, helping millions of people around the world in the fight against cancer, kidney disease, rheumatoid arthritis, bone disease, and other serious illnesses.
BioVex is developing a new class of potent biologics for the treatment of cancer and prevention of infectious disease. In addition to OncoVEX (GM-CSF), the Company has a second development programme, ImmunoVEX (HSV2) a vaccine for genital herpes that is undergoing clinical testing in the United Kingdom.
OncoVEX (GM-CSF) is a novel therapeutic cancer vaccine with both oncolytic and immunomodulatory activities. BioVex believes OncoVEX (GM-CSF) has the potential to offer a breakthrough option in the treatment of many solid tumours based on the strength of clinical data so far generated coupled with the relatively benign side effect profile noted to date.