EQT Group acquires VC firm in $500M+ deal; Sanofi selects IPO leaders for 2022 API spinout — report
Private investment group EQT announced an agreement this morning to buy out Life Science Partners, a European VC firm with more than $2.5 billion under management.
While details are not complete, EQT agreed to $520 million upfront — 25% in cash and 75% in new EQT shares. There is also potential for a $29 million earn-out payment, according to an EQT statement.
Michael Bauer, Partner and Co-Head of EQT’s Global Healthcare sector team, said, “We are truly excited about the opportunity to join forces with LSP and form EQT Life Sciences. The EQT and LSP teams have complementary skill sets, and the combination will allow us to support healthcare companies and their management teams in a unique way.”
EQT plans to close the transaction by sometime early next year.
Sanofi chooses big bankers to lead API spinout in 2022 IPO — report
Sanofi SA has picked Bank of America, BNP Paribas and JPMorgan to lead EUROAPI to an IPO sometime next year, according to Bloomberg News.
The French pharma wants to raise close to $1.2 billion in the IPO, and more banks could get added to the listing roster.
Sanofi announced plans just before the Covid-19 pandemic to create a new active pharmaceutical ingredients company, hoping the spinout could generate around 1 billion euros in sales. The Big Pharma said at the time that it planned to retain around 30% in the company and would consider Paris as a listing venue.
And this past January, Sanofi unveiled EUROAPI as the name of the new unit and tapped Karl Rotthier as the first CEO. The spinout’s initial portfolio will come with more than 200 APIs approved for products in 80 international markets.
Freeline claims early win in Fabry disease program
UK gene therapy biotech Freeline Therapeutics gave investors an update this morning on its investigational Fabry disease treatment FLT190, currently in a Phase I/II clinical trial, saying the candidate proved durable in the second patient tested.
Fabry disease is an inherited metabolism disorder — resulting from the absent or markedly deficient activity of lysosomal enzyme α-galactosidase A, or α-Gal A.
“Enzyme expression data from the second patient in our Phase I/II dose-finding trial of FLT190 are highly encouraging, with expression of alpha-galactosidase A reaching near-normal levels and the patient thus far remaining off enzyme replacement therapy since dosing,” said Freeline CEO Michael Parini. According to a company statement, the patient was last dosed more than 16 weeks ago.
A third patient will be dosed sometime early next year.
The biotech also announced that it is working with regulatory authorities to update study protocols for FLT180a for hemophilia B to include additional data collection, and that it will initiate a Phase I/II trial on the investigational candidate by Q1 next year.
Wednesday’s update comes after the company announced a two-year delay on a pivotal trial for hemophilia B in February to work on CMC feedback from the FDA. The program was initially slated to enter a pivotal Phase IIb/III study before the end of the year.
In the same statement, Freeline announced they are adding a new CMO in Pamela Foulds, who joins the biotech just a few months after now-former CEO Theresa Heggie spent only a year at the helm.