Italian drugmaker Recordati has agreed on a price for six-year-old EUSA Pharma. The Milan-based firm will pay €750m ($845 million) for EUSA’s portfolio of drugs to treat rare cancers.
EUSA Pharma will be Acquired by Italian Firm Recordati for €750 Million
U.K.-based EUSA, which employs 200 people around the world, has developed four products, including an antibody treatment for children with Neuroblastoma. A potential FDA approval for the treatment, known commercially as Qurziba, could bump annual sales of EUSA’s products from €130 million ($147 million) to €250 million ($282 million), Recordati said in a Friday .
Another promising product Recordati acquires in the deal is Caphosol, an FDA-approved medical device to counter some side effects from chemotherapy and radiotherapy. Also included is Sylvant, an approved antibody for idiopathic Multicentric Castleman’s disease, and Fotivda, an oral treatment for advanced renal cell carcinoma.
The company said it expects the deal to complete in the first half of next year.
“(This) represents an excellent opportunity to further expand and reinforce our portfolio in a new and underserved therapeutic area, rare and niche oncology, with high potential growth products and will provide a platform for potential further future expansion,” Recordati new chairman and former CEO Andrea Recordati said in the release.
The acquisition comes three years after private equity player CVC Capital Partners came up with €3.03 billion ($3.4 billion) to pick up the Recordati family’s 52% controlling stake in Italian company, following the death of CEO Giovanni Recordati. When the deal was struck, CVC said its goal was to expand Recordati’s rare disease business.
About Recordati Pharma
Recordati, established in 1926, is an international pharmaceutical group, listed on the Italian Stock Exchange (Reuters RECI.MI, Bloomberg REC IM, ISIN IT 0003828271), with a total staff of more than 4,300, dedicated to the research, development, manufacturing and marketing of pharmaceuticals. Headquartered in Milan, Italy, Recordati has operations in Europe, Russia and the other C.I.S. countries, in Ukraine, Turkey, North Africa, the United States of America, Canada, Mexico, some South American countries, Japan and Australia. An efficient field force of medical representatives promotes a wide range of innovative pharmaceuticals, both proprietary and under license, in several therapeutic areas including a specialized business dedicated to treatments for rare diseases. Recordati is a partner of choice for new product licenses for its territories. Recordati is committed to the research and development of new specialties with a focus on treatments for rare diseases.
