Naarden, The Netherlands – 16 March 2018 – Forbion, one of the leading European life science venture capital firms, today announces that H. Lundbeck A/S (Lundbeck) has acquired Forbion’s portfolio company Prexton Therapeutics B.V. (Prexton) for a total consideration of EUR 905 million (USD 1.1 billion).
Under the terms of the agreement, Lundbeck will pay EUR 100 million upfront to the current investors in Prexton and up to a further EUR 805 million in development, regulatory and sales milestones, depending on the successful outcome of certain undisclosed milestones. Guggenheim Securities acted as the financial advisor and Dechert LLC served as the legal counsel to Prexton.
By acquiring Prexton, Lundbeck will obtain the global rights to foliglurax, which is currently in Phase II clinical development for the symptomatic treatment of OFF-time reduction in Parkinson’s disease and dyskinesia, including Levodopa Induced Dyskinesia (LID). The first data from the ongoing Phase II clinical program is expected to become available in mid-2019.
“Forbion co-led Prexton’s Series B financing in February 2017 which raised EUR 29 million (USD 31 million) to advance the development of foliglurax. This rapid exit underscores Forbion’s ability to identify the most promising European biotech companies, including those focusing on drug development in challenging indications such as Parkinson’s disease”, commented Marco Boorsma, General Partner at Forbion. “The Prexton team has successfully and efficiently advanced foliglurax into mid-stage clinical development. Lundbeck now has the opportunity to apply its specialist knowledge and expertise in the CNS space.”
Parkinson’s disease is a devastating progressive neurological condition affecting over 6 million people worldwide. The disease is caused by the degeneration of dopaminergic brain cells. The main motoric symptoms are resting tremor, muscle rigidity, and slowed movement (bradykinesia).
Current treatments aim to replace dopamine or to mimic its effects with patients being administered with the dopamine precursor levodopa. This treatment provides adequate symptomatic relief initially but over time it loses efficacy. As the disease progresses patients experience serious, debilitating complications, such as increased OFF-time and uncontrolled movements (dyskinesia).
Forbion is a dedicated life sciences venture capital firm with offices in The Netherlands and Germany. Forbion invests in life sciences companies that are active in the pharmaceutical, as well as the medical device space. Forbion’s investment team has built an impressive performance track record since the late nineties with successful investments in over 50 companies. Forbion manages well over EUR 800 million across nine funds. Its investors include the EIF, through its European Recovery Programme (ERP), LfA and Dutch Venture Initiative (DVI) facilities and the KFW through the ERP – Venture Capital Fondsfinanzierung facility. Forbion also operates a joint venture with BGV, the manager of seed and early stage funds focused on Benelux and Germany. www.forbion.com
Prexton is a biopharmaceutical company founded in 2012 by Francois Conquet and M-Ventures, the corporate venture arm of Merck. Prexton applies a new scientific approach that fully integrates molecular, behavioral and chemistry technologies to address Parkinson’s disease and other brain disorders. Prexton is based in Oss (The Netherlands) and in Geneva (Switzerland). Other major investors include Forbion, Seroba Life Sciences, Sunstone Capital and Ysios Capital. www.prextontherapeutics.com
Foliglurax is a small molecule, which works by stimulating a specific glutamatergic target (mGluR4) that activates a compensatory neuronal system in the brain. Pre-clinical studies have demonstrated positive effects in models of Parkinson’s disease. The aim is to treat the motor symptoms of Parkinson’s disease, such as resting tremor, muscle rigidity and dyskinesia.
Issued for and on behalf of Forbion by Instinctif Partners.
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