Bayer announces plans to acquire UK-Based Biotech KaNDy Therapeutics

Bayer AG, the Germany-based multinational pharmaceutical and life sciences company, has reportedly announced plans to acquire KaNDy Therapeutics Ltd to accelerate its drug development pipeline in women’s healthcare.

The acquisition is another important milestone in expanding Bayer’s women’s healthcare portfolio through strategic agreements and collaborations. Following the deal, the German pharmaceutical company gains access to the investigational compound, NT-814.

The drug recently showed positive results in KaNDy Therapeutics’ Phase IIb clinical trial for treating modest to severe vasomotor symptoms caused due to menopause. KaNDy is also planning to start Phase III clinical trial in 2021. Once approved; the drug could create a peak sales potential of over €1 billion across the globe.

Most of the women over the age of 50 experience menopausal vasomotor symptoms during the menopausal transition. These symptoms could be debilitating for numerous years for those affected and could result in substantial incremental healthcare as well as economic costs.

Sources cite that KaNDy Therapeutics will receive an upfront consideration of around $425m, possible milestone payments of up to $450m until drug launch, followed by probable additional triple-digit million milestone payments.

The closing of the deal is subject to regulatory approval and is expected by September by 2020.

Speaking on the acquisition, Dr. Sebastian Guth, President of Pharmaceuticals in the Americas Region at Bayer said that as a leader in women’s health, Bayer is focused on offering new healthcare options for women's needs.

Dr. Guth added that this deal highlights the company’s commitment to the health of women, which not only expands its pipeline but also has potential offer a new treatment option that may make a meaningful impact on women’s lives.

Meanwhile, Linklaters is catering as legal counsel to Bayer, while Morgan Stanley is catering as a financial advisor. On the other hand, Goodwin is catering as legal counsel to KaNDy Therapeutics Ltd. while Goldman Sachs International is catering as a financial advisor.

Source Credit - https://www.businesswire.com/news/home/20200811005363/en/Bayer-Acquire-UK-Based-Biotech-KaNDy-Therapeutics-Ltd.