Biogen pays $1B cash to enlist Ionis on a new drug discovery campaign — but can it deliver fast enough for analysts?
Looking to build up its pipeline, Biogen $BIIB is going back to the partner that provided it with its last big hit, Spinraza.
In a new discovery alliance announced early Friday, Biogen has agreed to pay $1 billion cash for equity and an upfront fee to get Ionis $IONS back in the lab looking for a slate of new programs.
Billed as “one of the most significant discovery stage collaborations in the industry,” the unusually rich front-loaded deal includes $625 million to pay for a chunk of Ionis shares at $54.34 a share — which closed Thursday at $45.85. The rest covers a rich down payment on up to seven programs aiming for the clinic in the next two years.
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