Sartorius buys majority stake in German manufacturing player; Cerevel Therapeutics ends the week on a high note, with $350M raise
Sartorius Stedim Biotech acquired a majority stake in Germany-based CellGenix GmbH, the companies announced Friday.
Sartorius has acquired 51% of the company for $118.3 million and announced the plan to acquire the remaining shares of the company at the beginning of 2023 and 2026.
CellGenix was started at the University Medical Center of Freiburg in 1994 and currently employs 70 people. The company generated $23.6 million in sales in 2020.
“For us, Sartorius Stedim Biotech is an ideal partner with a highly complementary product portfolio that will accelerate our development with its global sales team, enabling us to usher in our next phase of growth,” CellGenix CEO Felicia Rosenthal, said in a press release.
Sartorius has a sales subsidiary in Cambridge, MA, which is located just 55 miles south of CellGenix’s Portsmouth, NH location. The company plans to expand the Freiburg site and establish it as a manufacturer of raw materials for cell and gene therapy. — Josh Sullivan
Cerevel Therapeutics ends the week on a high note, with $350M raise
The good news continues for Cerevel Therapeutics. A few days after an early look at positive data in schizophrenia sent the biotech’s shares soaring, the Pfizer spinout is now unveiling a $350 million raise.
Cerevel priced an underwritten public offering of 14 million shares at $25 apiece, the company said on Thursday. The news comes after Cerevel announced that patients who took a 30 mg dose of its CVL-231 once a day saw a mean reduction from baseline of 19.5 points on the Positive and Negative Syndrome Scale (PANSS), a medical scale used for measuring symptom severity in those with schizophrenia. That group saw a mean reduction of 12.7 points on the PANSS scale compared to the placebo group, with a p-value of 0.023, according to the company.
In the 20 mg, twice-daily group, patients who took CVL-231 saw a 17.9-point mean reduction from baseline, and an 11.1-point mean reduction compared to the placebo group, with a p-value of 0.047.
Cerevel was formed a couple of years ago, when Pfizer shut down its neuroscience division. Bain Capital picked up the pieces and decided to spin them out into a new biotech, betting $350 million that the assets were still valuable.
Cerevel’s stock $CERE more than doubled on Tuesday, when it released the CVL-231 results. But shares were down about 11% on Friday, pricing in at $23.77. — Nicole DeFeudis
FDA hands bad news to Iterum less than a month before PDUFA goal date
The FDA has identified deficiencies with its new drug application for a urinary tract infection medicine, which it disclosed to Iterum Therapeutics in a letter.
The deficiencies were not made known to Iterum, the company said, and the letter states that it does not reflect a final decision for the NDA for sulopenem etzadroxil/probenecid
“While we are disappointed by this news, we continue to believe in the potential of sulopenem to help address the growing challenge of antibiotic resistance,” CEO Corey Fishman said in a statement. “Our goal now is to work with the FDA to identify and resolve the issues as expeditiously as possible in order to continue advancing this much needed antibiotic.”
The FDA has assigned a PDUFA goal date of July 25. — Josh Sullivan