- Emergent BioSolutions Inc (NYSE: EBS) has agreed to acquire Chimerix Inc's (NASDAQ: CMRX) exclusive worldwide rights to Tembexa (brincidofovir), the first FDA-approved antiviral for all age groups for smallpox.
- "It exemplifies our thoughtful M&A strategy as part of our 2024 growth plan and positions us better to deliver value for our shareholders," said Robert Kramer, president & CEO of Emergent.
- Also See: Chimerix's CMX521 Antiviral Program Shows Potential Against COVID-19 In Preclinical Studies.
- "This transaction expands and further diversifies our medical countermeasures business with the addition of a small molecule therapeutic that aligns with the government's smallpox preparedness strategy," said Paul Williams, SVP government/MCM business at Emergent.
- "It is expected to be accretive upon first product delivery under the anticipated BARDA contract within three to six months from closing," Williams added.
- Emergent will pay Chimerix a $225 million one-time upfront payment in cash upon closing and up to $100 million in milestone payments contingent on the potential exercise by the U.S. government of procurement options.
- Emergent closed the March quarter with a cash balance of $435.8 million.
- Chimerix remains eligible to receive a portion of the regulatory milestone payments associated with the license to SymBio Pharmaceuticals Ltd for indications other than orthopoxvirus infections.
- Price Action: CMRX shares plunge 57.1% to $1.82 during the market session on the last check Monday.
Read at Benzinga