BMS to Acquire RayzeBio for $4.1 Billion, Ablaze Retains Greater China Rights

Dec 26, 2023 23:59 CST Updated Dec 27, 00:00

RayzeBio

Targeted Drug Developer

Bristol-Myers Squibb

Biopharmaceutical and Nutritional Product R&D and Sales

On December 26, Bristol-Myers Squibb (BMS) and RayzeBio (NASDAQ:RYZB) announced a definitive merger agreement under which BMS will acquire RayzeBio for $62.50 per share in cash.RayzeBio, with a total market capitalization of approximately US$4.1 billion, or after deducting the estimated cash proceeds (RayzeBio Account has approximately 500 million US dollars in cash) approximately $3.6 billion. The transaction has been unanimously approved by the boards of both companies and is expected to be completed in the first half of 2024. This follows BMS's $14 billion acquisition ofCNS New Drug CompanyKaruna Faces a Major Acquisition.（$14 Billion! BMS Acquires Karuna Therapeutics) In recent years, several major companies of BMS have cooperated with Chinese enterprises, such as the acquisition of Turning Point Therapeutics andKaruna Therapeutics has a licensing collaboration with Zai Lab.RayzeBio collaborates with AstraZeneca.

Reply "RayzeBio"Get 39 Pages of Rare PPT"

RayzeBio is a clinical-stage radiopharmaceutical therapy (“RPT”) company with innovative leadership in actinium-based RPT and a potential first-in-class and best-in-class pipeline. The current pipeline projects aim to treat solid tumors, including gastroenteropancreatic neuroendocrine tumors (GEP-NETs), small cell lung cancer, hepatocellular carcinoma, and other cancers. The demand for more effective treatments for solid tumors remains high but unmet, while RPT enables precise patient treatment approaches. RPT binds to tumor cells and delivers targeted radiation to induce cancer cell death. Compared with currently available RPTs, actinium-based RPT offers potential advantages, as the high potency and short emission range of α-emitters create possibilities for greater efficacy and more targeted delivery.RayzeBio, Inc. has raised $750 million since it began operations in August 2020.（A/$45M，B/$105M，C/$108M，D/$160M，IPO/$358M, IPO Market Value This Year: $1.3 Billion）。

RayzeBio is completing the construction of a state-of-the-art internal production facility in Indianapolis, Indiana, with GMP drug production expected to begin in the first half of 2024.

Bristol-Myers Squibb CEO Dr. Christopher Boerner stated:"This transaction enhances our increasingly diversified oncology portfolio by bringing differentiated platforms and pipelines, and further strengthens our growth opportunities for the second half of the next decade and beyond. Radiopharmaceutical therapy is already transforming cancer treatment, and RayzeBio is at the forefront of applying this new model. We look forward to supporting and accelerating RayzeBio's preclinical and clinical programs, and advancing its highly innovative radiopharmaceutical platform."

RayzeBioPresident and CEO Ken Song, M.D., said:"Despite recent advances in treatment, the need for more effective therapies for solid tumors remains, and radiopharmaceutical therapy is positioned to be the next significant innovation in oncology care. Bristol-Myers Squibb's strong presence in oncology and deep expertise in developing, commercializing, and manufacturing treatments globally make it an ideal partner for RayzeBio at this crucial stage of our growth. I am excited to see what our team will achieve as part of Bristol-Myers Squibb."

Lead Project RYZ101 (225Ac-DOTATATE), targeting somatostatin receptor 2 (SSTR2), which is overexpressed in GEP-NETs and extensive-stage small cell lung cancer (ES-SCLC). A phase 3 clinical trial is currently recruiting patients to evaluateRYZ101 TreatmentPatients with SSTR-positive GEP NETs who have previously received lutetium-177-based somatostatin therapy. RayzeBio previously reported interim results from the Phase 1b ACTION-1 clinical trial, indicating encouraging efficacy and tolerability. A Phase 1b clinical trial is also currently enrolling patients to evaluate RYZ101 as a first-line treatment for ES-SCLC in combination with standard of care.

RYZ801, RayzeBio's novel patented peptide targeting glypican-3 (GPC3), for delivering actinium-based radiopharmaceutical therapy to treat hepatocellular carcinoma. RYZ801 is...Currently in IND-enabling researchStudy.The pipeline also includes an asset targeting CA9, which is expressed in renal cell carcinoma and is currentlyIND-enablingUnder research.Multiple first-in-class solid tumor assets are in preclinical stages.

Previously,RayzeBioFocused on Chinese Radiopharmaceuticals CompaniesAblaze Establishes and Signs Licensing Agreement.In December 2021, Ablaze Pharmaceuticals completed a $75 million Series A financing round. The round was co-led by Vivo Capital and Ally Bridge Group, with participation from Nan Fung Life Sciences, Dingfeng Biosciences Capital, venBio Partners, Samsara BioCapital, and Venrock Healthcare Capital Partners.rtners and other institutions participated. Ablaze Pharmaceuticals was founded in 2021 as a clinical-stage pharmaceutical company with the mission of bringing advanced Targeted Radionuclide Therapies (TRT) to cancer patients in China. Since its establishment, Ablaze Pharmaceuticals has formed a partnership with RayzeBio and obtained exclusive rights for the development and commercialization of a series of RayzeBio products in Greater China. With its team’s extensive experience and network in cross-border product development and transactions, Ablaze Pharmaceuticals is committed to becoming a leader and preferred partner in China’s emerging TRT market through collaboration with domestic and international strategic partners.

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