|[July 02, 2014]
Genentech Announces Definitive Agreement to Acquire Seragon Pharmaceuticals
SOUTH SAN FRANCISCO, Calif. --(Business Wire)--
Genentech, a member of the Roche Group (SIX: RO, ROG; OTCQX: RHHBY),
today announced it has entered into a definitive agreement to acquire
Seragon Pharmaceuticals, Inc. (Seragon), a privately held biotechnology
company based in San Diego, California. With this acquisition, Genentech
obtains rights to Seragon's entire portfolio of investigational
next-generation oral selective estrogen receptor degraders (SERDs) for
the potential treatment of hormone receptor-positive breast cancer.
"This year, breast cancer will claim the lives of nearly 40,000 women in
the United States, and up to half of these women will have a disease
that is driven by the estrogen receptor," said Richard Scheller, Ph.D.,
executive vice president and head of Genentech Research and Early
Development. "We believe these investigational oral SERDs could one day
redefine the standard of care for hormone receptor-positive breast
Under the terms of the agreement, Genentech will make an upfront cash
payment of $725 million, plus additional contingent payments of up to $1
billion based on achievement of certain predetermined milestones. The
closing of the transaction is subject to customary closing conditions,
including clearance under the Hart-Scott-Rodino Antitrust Improvements
Act. The transaction is expected to close in the third quarter of 2014.
Once the transaction is completed, Sergon's portfolio will be
integrated into Genentech Research and Early Development.
About Hormone Receptor-Positive Breast Cancer and SERDs
Up to sixty percent of breast cancers depend on the hormone estrogen and
the estrogen receptor to grow and spread. This type of breast cancer is
called hormone receptor-positive breast cancer. It is typically treated
with medicines, such as tamoxifen and aromatase inhibitors, that are
designed to block the action at the estrogen receptor or interfere with
the body's production of estrogen. Many women who receive these current
hormonal agents will eventually see their disease return or worsen.
Scientists at Seragon have developed next-generation selective estrogen
receptor degraders (SERDs). This class of medicines is designed to both
block estradiol action at the estrogen receptor and also eliminate the
estrogen receptor from the cell altogether. It is believed that SERDs
change the shape of the estrogen receptor in a manner that targets it
for elimination by the cell. These next-generation dual-acting SERDs may
offer an improved approach to treating hormone receptor-positive breast
cancer, and potentially other cancers driven by the estrogen receptor.
Seragon's lead product candidate, ARN-810, is a next-generation SERD
that is currently in Phase I clinical trials for patients who have
hormone receptor-positive breast cancer and have failed current hormonal
agents. These next-generation SERDs complement Genentech's existing
research and development programs in breast cancer.
About Seragon Pharmaceuticals
Seragon Pharmaceuticals, Inc. is a privately held company located in San
Diego, California. Founded in 2013, Seragon is focused on the
development of selective estrogen receptor degraders (SERDs) for hormone
receptor-driven cancers. SERDs are designed to bind the estrogen
receptor and function as antagonists, and to induce conformational
changes that may result in degradation of the receptor itself.
Founded more than 35 years ago, Genentech is a leading biotechnology
company that discovers, develops, manufactures and commercializes
medicines to treat patients with serious or life-threatening medical
conditions. The company, a member of the Roche Group, has headquarters
in South San Francisco, California. For additional information about the
company, please visit http://www.gene.com.
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