Servier pays $2 billion for Agios' oncology business
The deal nets Servier a clinical oncology portfolio and will expand its U.S. footprint
PARIS & BOSTON—Servier has been doing some last-minute Christmas shopping, having just announced an agreement with Agios Pharmaceuticals under which it will acquire the latter company's oncology business, including its commercial, clinical, and research-stage oncology portfolio. The deal has a $2-billion price tag, which includes an upfront payment of $1.8 billion and the potential for $200 million in regulatory milestones, as well as royalties.
“The sale of our oncology portfolio to Servier is a transformational milestone for Agios. We are proud of our heritage in oncology and the novel therapies we have advanced for patients with hematologic malignancies and solid tumors, and we are pleased to have found an excellent home for our oncology portfolio in Servier, a successful, patient-focused, global pharmaceutical company,” said Dr. Jackie Fouse, CEO of Agios. “Servier is committed to the oncology patient community and to investing in our assets and our people. This transaction will allow the oncology portfolio to grow and thrive with Servier.”
Under the terms of the agreement, Agios' oncology portfolio and associated employees will be transferred to Servier, with all U.S.-based employees primarily attached to the oncology business receiving a comparable offer at Servier. The portfolio includes TIBSOVO, which is approved in the U.S. as monotherapy for adults with IDH1-mutant relapsed or refractory acute myeloid leukemia (AML) and adults with newly diagnosed IDH1-mutant AML who are ≥75 years old or who have comorbidities that preclude intensive induction chemotherapy. With this deal, Servier also acquires Agios' co-commercialization responsibilities for Bristol Myers Squibbs' IDHIA (enasidenib) and will conduct certain clinical development activities for that program.
Beyond TIBSOVO, Servier will gain Agios' oncology pipeline and clinical programs, including vorasidenib, an investigational, brain-penetrant, dual inhibitor of mutant IDH1 and IDH2 which is currently being studied in the registration-enabling Phase 3 INDIGO study in patients with IDH-mutant low-grade glioma; AG-270, an investigational first-in-class methionine adenosyltransferase 2a inhibitor being evaluated in combination with taxanes in patients with methylthioadenosine phosphorylase-deleted non-small cell lung cancer and pancreatic cancer; AG-636, a novel inhibitor of dihydroorotate dehydrogenase (DHODH); and Agios’ oncology research programs.
According to Servier, this deal boosts its portfolio in oncology, an area that the company has allotted 50 percent of its overall budget to address, and expands its U.S. footprint.
“The strategic acquisition of Agios’ oncology business, including its precision medicine portfolio and pipeline, is aligned with our ambition to become a recognized player in oncology and further supports our commitment to provide innovative treatments to cancer patients with unmet medical needs. It is a key step for the Servier Group as it will significantly strengthen our position in the U.S. and reinforce our R&D capabilities in oncology,” remarked Olivier Laureau, president of Servier. “We look forward to welcoming the experienced Agios oncology teams to Servier following the closing.”
“Agios is a leader in the cellular metabolism space with a proven track record of discovering, developing and commercializing precision medicines,” added David K. Lee, CEO, Servier Pharmaceuticals, the U.S. subsidiary of Servier. “The acquisition of Agios’ oncology business, including highly experienced talent from research, development, technical operations and commercial functions, allows for an immediate expansion of our U.S. business into other hematologic malignancies and provides the potential for longer-term growth into the solid tumor space, thus ensuring that we can serve more patients living with unmet cancer needs than ever before.”
Both companies' boards of directors have approved the transaction, which is set to close to Q2 2021, subject to regulatory clearances and approval by Agios shareholders.
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