Biogen Reaches Agreement with Samsung Biologics to Sell Equity Stake in Their Biosimilar Joint Venture for up to $2.3 billion
January 27 2022 - 6:50PM
Biogen Reaches Agreement with Samsung Biologics to Sell Equity
Stake in Their Biosimilar Joint Venture for up to $2.3 billion
Biogen Inc. (Nasdaq: BIIB) today announced that they have entered
into an agreement whereby Samsung Biologics will acquire Biogen’s
equity stake in the Samsung Bioepis joint venture for an aggregate
consideration of up to USD $2.3 billion.
Biogen and Samsung Bioepis have built the industry leading
anti-TNF portfolio in Europe1. Upon the acquisition of Biogen’s
stake, the companies will continue with their exclusive agreements,
including commercialization of their current portfolio. This
includes marketed products BENEPALI® (etanercept), a biosimilar
referencing ENBREL®, IMRALDITM (adalimumab), a biosimilar
referencing Humira®, and FLIXABI® (infliximab), a biosimilar
referencing Remicade®. Additionally, Biogen will also retain
commercial rights for BYOOVIZTM (ranibizuman-nuna), an approved
biosimilar referencing LUCENTIS® (ranibizumab), as well as an
investigational biosimilar candidate in development, SB15
(aflibercept), a proposed biosimilar referencing EYLEA®.
“We are thankful to Samsung Biologics for a productive
collaboration since 2012,” said Michel Vounatsos, Chief Executive
Officer at Biogen. “We believe biosimilars are essential to help
sustain healthcare systems and represent an important value
creation opportunity for Biogen.”
Samsung Biologics has agreed to pay Biogen up to $2.3 billion
for its stake in the joint venture. Under the terms of this
agreement, Biogen will receive $1 billion in cash at closing and
$1.25 billion to be deferred over two payments of $812.5 million
due at the first anniversary and $437.5 million due at the second
anniversary of the closing of the transaction. Biogen is eligible
to receive up to $50 million contingent upon achievement of certain
commercial milestones. Closing of the transaction is contingent on
the effectiveness of a securities registration statement filed by
Samsung Biologics and satisfaction of certain regulatory and other
customary closing conditions. Upon closing, Biogen will recognize a
GAAP gain on disposal within other income (expense), net in its
consolidated statement of income.
About BiosimilarsBiosimilars are biologic
products that have been demonstrated to be similar in efficacy,
safety and immunogenicity to the originator’s approved reference
product, with the advantage that they can offer significant cost
savings and increased patient access. Biosimilars may lower
healthcare system costs broadly, creating headroom for innovation
and could enable governments to potentially redirect savings to
priorities such as increasing access to transformative
therapies.
About BiogenAs pioneers in neuroscience, Biogen
discovers, develops, and delivers worldwide innovative therapies
for people living with serious neurological diseases as well as
related therapeutic adjacencies. One of the world’s first global
biotechnology companies, Biogen was founded in 1978 by Charles
Weissmann, Heinz Schaller, Sir Kenneth Murray, and Nobel Prize
winners Walter Gilbert and Phillip Sharp. Today, Biogen has a
leading portfolio of medicines to treat multiple sclerosis, has
introduced the first approved treatment for spinal muscular
atrophy, and is providing the first and only approved treatment to
address a defining pathology of Alzheimer’s disease. Biogen is also
commercializing biosimilars and focusing on advancing the
industry’s most diversified pipeline in neuroscience that will
transform the standard of care for patients in several areas of
high unmet need.
In 2020, Biogen launched a bold 20-year, $250 million initiative
to address the deeply interrelated issues of climate, health, and
equity. Healthy Climate, Healthy Lives™ aims to eliminate fossil
fuels across the company’s operations, build collaborations with
renowned institutions to advance the science to improve human
health outcomes, and support underserved communities.
The company routinely posts information that may be important to
investors on its website at www.biogen.com. To learn more,
please visit www.biogen.com and follow Biogen on social
media
– Twitter, LinkedIn, Facebook, YouTube.
Biogen Safe Harbor This news release
contains forward-looking statements, including statements made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, relating to the potential benefits
and results that may be achieved through Biogen’s proposed
transaction with Samsung Biologics; the anticipated completion of
the proposed transaction;; the potential of Biogen’s commercial
business and pipeline programs; Biogen’s strategy and plans; and
risks and uncertainties associated with drug development and
commercialization. These forward-looking statements may be
accompanied by words such as “aim,” “anticipate,” “believe,”
“could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,”
“potential,” “possible,” “will,” “would” and other words and terms
of similar meaning. Drug development and commercialization involve
a high degree of risk, and only a small number of research and
development programs result in commercialization of a product.
Results in early-stage clinical trials may not be indicative of
full results or results from later stage or larger scale clinical
trials and do not ensure regulatory approval. You should not place
undue reliance on these statements or the scientific data
presented.
These statements involve risks and uncertainties that could
cause actual results to differ materially from those reflected in
such statements, including without limitation, risks that the
proposed transaction will not be completed in a timely manner or at
all; the possibility that certain closing conditions to the
proposed transaction will not be satisfied; uncertainty as to
whether the anticipated benefits of the proposed transaction can be
achieved; and the direct and indirect impacts of the ongoing
COVID-19 pandemic on Biogen’s business, results of operations and
financial condition. The foregoing sets forth many, but not all, of
the factors that could cause actual results to differ from Biogen’s
expectations in any forward-looking statement. Investors should
consider this cautionary statement as well as the risk factors
identified in Biogen’s most recent annual or quarterly report and
in other reports Biogen has filed with the U.S. Securities and
Exchange Commission. These statements are based on Biogen’s current
beliefs and expectations and speak only as of the date of this news
release. Biogen does not undertake any obligation to publicly
update any forward-looking statements, whether as a result of new
information, future developments or otherwise.
References:
- Biogen data on file - IQVIA / MIDAS, WHO-DDD as of Q3 2021
MEDIA
CONTACT:BiogenAshleigh Koss+ 1 908 205
2572public.affairs@biogen.com |
INVESTOR
CONTACT:BiogenMike Hencke+1 781 464
2442IR@biogen.com |
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