Shionogi to Acquire Tetra Therapeutics
May 26, 2020
Rare Daily Staff
Neuroinflammation drug developer Tetra Therapeutics said that it has entered into a definitive merger agreement for Shionogi to acquire it.
With this acquisition, Shionogi will obtain global rights to Tetra’s entire portfolio of compounds for the treatment of brain disorders associated with cognitive and memory deficits, notably BPN14770, a selective inhibitor of phosphodiesterase‐4D.
The decision to acquire Tetra follows the 2018 collaboration and investment agreement that the two companies expanded on earlier this year to develop and commercialize BPN14770 for the treatment of Alzheimer’s disease, Fragile X syndrome and other indications. Currently, Tetra is conducting a phase 2 study in Fragile X and recently completed a phase 2 study in Alzheimer’s disease in the United States.
“Shionogi has been a valued partner for the last two and half years, and with the company’s development and commercialization expertise, we believe Shionogi is ideally positioned to bring the potential of our platform to patients and provide new treatment options within these areas of urgent medical need,” said Mark Gurney, chairman and CEO of Tetra Therapeutics. “This is a great outcome for our investors and stakeholders.”
Under the terms of the merger agreement, Tetra will become a wholly owned subsidiary of Shionogi, and Shionogi will have global rights to BPN14770 and all Tetra compounds. Based on the achievement of certain predetermined regulatory and commercial milestones the total transaction value may be up to $500 million.
“Tetra’s deep level of drug discovery know-how in the CNS area will help us to solve for the cognitive disorders our aging population is facing,” said Isao Teshirogi, president and CEO of Shionogi, “and we believe we are well-positioned to bring BPN14770 to patients in need.”
Photo: Isao Teshirogi, president and CEO of Shionogi
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