Sobi Acquires Dova for $915 Million to Expand into Hematology Market

On September 30, VCBeat (WeChat ID: vcbeat) learned from foreign media reports that Swedish biopharmaceutical company Sobi (STO: SOBI) announced the acquisition of U.S. biopharmaceutical company Dova Pharmaceuticals (NASDAQ: DOVA). The consideration for the acquisition includes an upfront cash payment of $27.50 per share and a non-tradable contingent value right (CVR).

Following the U.S. FDA’s approval of Doptelet® for chemotherapy-induced thrombocytopenia (CIT), CVR will entitle Dova shareholders to an additional payment of $1.50 per share. Based on Dova’s recent closing price of $20.19, the upfront cash portion of the tender offer represents a 36% premium. On a fully diluted basis, the transaction is valued at up to $915 million (approximately SEK 9 billion).

Following the acquisition of Dova, Sobi will obtain Doptelet, a differentiated marketed product for chronic immune thrombocytopenia (ITP), which is currently undergoing Phase 3 clinical trials for chemotherapy-induced thrombocytopenia (CIT). CIT is a common side effect of chemotherapy that can lead to reduced platelet counts. Currently, there are no approved drugs for the treatment of CIT.

The acquisition of Dova will expand Sobi’s product portfolio into the field of hematology and strengthen its commercial position in the United States. Doptelet will further diversify Sobi’s revenue base, thereby driving new growth. Sobi will leverage its expertise in hematology and existing infrastructure to broaden the indications for Doptelet by expanding patient access outside the United States.

Dova Pharmaceuticals, founded in 2016, was established to commercialize Doptelet, a second-generation small-molecule thrombopoietin receptor (TPO) agonist indicated for the treatment of thrombocytopenia by increasing platelet counts. In May 2018, Doptelet received FDA approval for the treatment of thrombocytopenia in adult patients with chronic liver disease (CLD).

Doptelet was approved by the European Medicines Agency (EMA) in June 2019 for the treatment of chronic liver disease, and its application for the indication of chronic immune thrombocytopenia (ITP) is expected to be submitted in Europe in 2020. ITP is a rare autoimmune hemorrhagic disorder characterized by low platelet counts.

It is understood that Sobi has recently undertaken a series of transformative transactions to expand its hematology and immunology portfolio, with the acquisition of Dova Pharmaceuticals being the latest. Through this acquisition, Sobi will enhance its operational capabilities in the U.S. market and collaborate with hematologists to further develop its existing franchise.

Currently, the TPO market is valued at $2 billion, indicating substantial commercial opportunities. The recent launch of Doptelet in the U.S. ITP market marks the first step in capturing a significant share of this market. Furthermore, Doptelet has the potential to become the first approved drug for the treatment of CIT.

Guido Oelkers, CEO and President of Sobi, stated, “The upcoming launch of Doptelet, along with its indicated indications and targeted regions, will help accelerate the company’s further development in the field of hematology. There is a significant unmet medical need in thrombocytopenia, presenting us with a valuable opportunity to provide patients with innovative therapies. Furthermore, we are pleased to welcome 125 professionals from Dova Pharmaceuticals, who will strengthen Sobi’s hematology infrastructure and expand our value chain in the United States.”

(Compiled by Cheng Xiaoqin)