Securing Servier’s ambition to become a truly global biopharmaceutical company
PARIS, France, April 16, 2018 – Servier, an independent international pharmaceutical company, announced today that it has entered into a definitive agreement with Shire, a leading global biotechnology company focused on rare diseases, to acquire its Oncology business for $2.4 billion. The acquisition allows Servier to establish an immediate and direct commercial presence in the United States, the world’s leading biopharmaceuticals market. Outside of the United States, where Servier is already present, the transaction significantly strengthens the Group’s oncology pipeline and portfolio of in-market drugs.
Under the terms of the agreement, Servier has agreed to acquire Shire’s Oncology business for a total consideration of $2.4 billion, in cash, upon completion. The transaction covers the transfer of Shire’s Oncology business including in-market products ONCASPAR® (pegaspargase), a component of multi-agent treatment for acute lymphoblastic leukemia (ALL) and ex-U.S. rights to ONIVYDE® (irinotecan pegylated liposomal formulation), a component of multi-agent treatment for metastatic pancreatic cancer post gemcitabine based therapy. The portfolio also includes two early stage immuno-oncology pipeline collaborations. Servier’s products will be commercialized in the United States through a newly-created subsidiary, Servier Pharmaceuticals LLC. Closing is expected in the second or third quarter of 2018 after obtaining authorizations from the competent competition authorities.
“The acquisition of Shire’s oncology franchise enables Servier to meet its strategic ambitions to become a key player in oncology globally. It is a major step in the transformation of the Group, allowing us to establish a direct commercial presence in the U.S., as well as to strengthen our portfolio of marketed products in the ex-US territories where Servier is already present. Our goal is to bring these life-saving treatments to greater numbers of cancer patients around the world”, said Olivier Laureau, President of Servier Group. “We thoroughly look forward to welcoming Shire’s dedicated oncology teams who will join Servier after the closing.”
Flemming Ørnskov, M.D., M.P.H., Shire Chief Executive Officer, commented: “This transaction is a key milestone for Shire, demonstrating the clear value embedded in our portfolio. While the Oncology business has delivered high growth and profitability, we have concluded that it is not core to Shire’s longer-term strategy. We will continue to evaluate our portfolio for opportunities to unlock further value and sharpen our focus on rare disease leadership with selective disposals of non-strategic assets”.
Servier is already present in the United States through several agreements with private and public partners and the Servier BioInnovation office. Located in the heart of Cambridge’s global life sciences hub, this new facility, opened in February 2018, is dedicated to identifying new R&D opportunities and intensifying Business Development & Licensing (BD&L) activities in the United States.
Servier is an international pharmaceutical company governed by a non-profit foundation, with its headquarters in France (Suresnes). With a strong international presence in 148 countries and a turnover of 4.152 billion euros in 2017, Servier employs 21,600 people worldwide. Entirely independent, the Group reinvests 25% of its turnover (excluding generic drugs) in research and development and uses all its profits for development. Corporate growth is driven by Servier’s constant search for innovation in five areas of excellence: cardiovascular, immune-inflammatory and neuropsychiatric diseases, cancers and diabetes, as well as by its activities in high-quality generic drugs.
Servier has been advised in this process by Lazard and Baker McKenzie, respectively, as financial and legal advisors.
Shire is the global leader in serving patients with rare diseases. We strive to develop best-in-class therapies across a core of rare disease areas including hematology, immunology, genetic diseases, neuroscience, and internal medicine with growing therapeutic areas in ophthalmics and oncology. Our diversified capabilities enable us to reach patients in more than 100 countries who are struggling to live their lives to the fullest.
We feel a strong sense of urgency to address unmet medical needs and work tirelessly to improve people’s lives with medicines that have a meaningful impact on patients and all who support them on their journey.