Biogen To Buy Human Immunology Biosciences In Deal Valued At Up To $1.8 Bln

(RTTNews) - Biogen Inc. (BIIB) and privately-held biotechnology company Human Immunology Biosciences or HI-Bio, announced Wednesday the companies have entered into a definitive agreement under which Biogen has agreed to acquire HI-Bio for $1.15 billion upfront and up to $650 million in potential milestone payments.

The proposed acquisition builds on Biogen capabilities in immunology with plans to combine Human Immunology Biosciences' expertise in immune-mediated indications with Biogen's global development and commercial experience in rare diseases.

Biogen plans to leverage its existing global development and commercialization capabilities in rare disease and its strong scientific expertise in immunology to support the advancement of felzartamab and the HI-Bio pipeline.

The total potential deal value can go up to $1.8 billion, should the felzartamab programs achieve certain development milestones.

In addition to lead program felzartamab, the HI-Bio pipeline includes izastobart/HIB210, an anti-C5aR1 antibody currently in a Phase 1 trial.

Biogen seeks to retain expertise and talent from HI-Bio and establish a San Francisco Bay Area team focused on expanding our efforts in immune-mediated diseases.

Biogen expects to finance the acquisition with cash and may also draw on its revolving credit agreement. The transaction is subject to customary closing conditions, including receipt of necessary regulatory approvals and is currently anticipated to close in the third quarter of 2024.

The acquisition of HI-Bio is not expected to impact Biogen's previously issued 2024 guidance.