Gilead Sciences Expands Liver Portfolio With Acquisition of CymaBay Therapeutics
Tuesday, February 13, 2024
Gilead Sciences, Inc. (Nasdaq: GILD) and CymaBay Therapeutics, Inc. (Nasdaq: CBAY) have announced a definitive agreement today, with Gilead set to acquire CymaBay for $32.50 per share in cash, totaling an equity value of $4.3 billion. This acquisition is aimed at incorporating CymaBay’s lead product candidate, seladelpar, into Gilead’s liver disease portfolio, aligning with its commitment to delivering groundbreaking medications to patients.
Gilead Sciences, expressed enthusiasm about advancing seladelpar leveraging Gilead’s expertise in liver disease treatment. He emphasized the potential of this acquisition to address the unmet needs of patients living with primary biliary cholangitis (PBC), particularly in managing symptoms like pruritus and fatigue, and reducing the risk of liver-related mortality.
Seladelpar, an investigational oral medication, acts as a selective peroxisome proliferator-activated receptor delta (PPARδ) agonist, targeting critical metabolic and liver disease pathways. It has received FDA Breakthrough Therapy Designation and other regulatory recognitions for its potential in treating PBC.
The transaction, subject to regulatory approvals and customary closing conditions, is expected to enhance Gilead's revenue growth upon FDA approval of seladelpar. The tender offer to acquire CymaBay’s outstanding shares will commence soon, with a planned closure in the first quarter of 2024. Financial advisors from BofA Securities, Inc., Guggenheim Securities, LLC, Centerview Partners LLC, and Lazard are overseeing the transaction.
Seladelpar’s clinical trial results have demonstrated its effectiveness in achieving biochemical response, normalizing alkaline phosphatase levels, and improving pruritus in patients with PBC. The agreement marks a significant milestone for both companies, with the potential to bring new hope to PBC patients and their families.
Source: businesswire.com
