Teva Moves Toward Biogenerics Goal With CoGenesys Acquisition
This article was originally published in The Pink Sheet Daily
Executive Summary
Israeli generics maker pays $400 million for the biopharma, which brings an advanced drug development platform called Albumin Fusion.
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Teva Pharmaceuticals will acquire the privately held biopharma CoGenesys for $400 million in an effort to strengthen its biogenerics position, the company announced Jan. 22. "In its recently completed strategic review, Teva identified biopharmaceuticals - and primarily biogenerics - as a key, long-term growth opportunity for the company," the firm said. "With this acquisition, Teva is taking a significant step towards advancing its strategic goals, demonstrating its commitment to becoming a leading player in the biogenerics market." Rockville, Md.-based CoGenesys develops improved, next-generation biopharmaceuticals using its proprietary Albumin Fusion platform, a validated method that produces drug candidates with lower dosing and increased safety, according to the firm. CoGenesys develops peptide- and protein-based medicines. The firm's clinical development pipeline includes the recombinant protein Cardeva , which binds human serum albumin to B-type natriuretic peptide. The compound has potential in heart failure patients, the firm said. Johnson & Johnson markets the BNP nesiritide under the Natrecor brand for reducing dyspnea in acute decompensated heart failure. However, according to CoGenesys, use of Natrecor as a long-term treatment for chronic heart failure is limited by the peptide's short half-life. Other products in the CoGenesys pipeline include Neugranin , a long-acting form of granulocyte colony stimulating factor. In its earlier-phase pipeline, the company is studying a CG209 monoclonal antibody to a novel pro-inflammatory member of the tumor necrosis factor family. Last year, Vegenics, an Australian company focused on therapies targeting tumor angiogenesis, licensed exclusive rights to CoGenesys' antibodies against vascular endothelial growth factor C (1 (Also see "Vegenics Licenses VEGF-C Development Rights From HGS Spinoff CoGenesys" - Pink Sheet, 18 Jun, 2007.) Teva's biotechnology infrastructure includes product development and manufacturing in several countries, including interferon alpha 2b, GCSF and human growth hormone. Besides the addition of CoGenesys' pipeline and technology, the acquisition will add 70 employees, many of them scientists, including Chief Scientific Officer and founder Craig Rosen and CEO Steve Mayer, Teva said. CoGenesys was formed in December 2005 within Human Genome Sciences to focus on early development of selected gene-based products. It was spun off as an independent company in June 2006 with the completion of $55 million in Series A financing. -Jessica Merrill ([email protected]) |