KuDOS Pharmaceuticals
AstraZeneca PLC
23 December 2005
Acquisition Of KuDOS Pharmaceuticals Will Enhance AstraZeneca's Ability To
Generate Novel Cancer Treatments
AstraZeneca today announced an agreement to acquire KuDOS Pharmaceuticals
Limited, a privately-owned UK biotechnology company, focused on the discovery
and development of oncology therapies based on the inhibition of DNA repair. The
total share capital of the company will be purchased for $210m cash, subject to
debt and working capital adjustment. The transaction is expected to close early
in 2006.
Acquisition of KuDOS Pharmaceuticals represents an important strategic step for
AstraZeneca: strengthening its portfolio of promising cancer treatments from
external opportunities and also demonstrating its commitment to discover,
develop and bring to market innovative therapies.
This transaction provides AstraZeneca with a widely-recognised expert group and
technology platform in an area of research that complements internal
capabilities in oncology, one of the company's key therapy areas. The DNA repair
platform developed by KuDOS Pharmaceuticals, in association with its founder
Professor Stephen Jackson of Cambridge University, includes several different
approaches towards inhibition of enzymes involved in the responses to various
types of DNA damage. DNA repair inhibitors have the potential to kill cancer
cells either as stand-alone therapy or by enhancing the efficacy of chemo- and
radio-therapies.
The acquisition of KuDOS Pharmaceuticals augments AstraZeneca's portfolio with
clinical and pre-clinical compounds and programmes. An innovative, targeted
compound, KU 59436, an oral poly-ADP-ribose polymerase (PARP) enzyme inhibitor,
is currently in phase I clinical development.
PARP is a key signalling enzyme involved in triggering repair of single strand
DNA damage. PARP inhibition selectively kills tumour cells lacking the
homologous recombination (HR) DNA repair pathway whilst sparing normal cells.
Known defects in HR repair include the well-characterised hereditary BRCA1 and
BRCA2 mutations in breast and ovarian cancer for which diagnostic tests are
available. This therapeutic/diagnostic combination offers the exciting potential
that KU 59436 can be developed as a new cancer monotherapy targeted for the
benefit of a definable patient population.
'KuDOS Pharmaceuticals is an excellent opportunity to acquire an established
technology platform additive to our own oncology research capabilities and
promising early development stage compounds at the same time,' said Dr. John
Patterson, Executive Director of Development, AstraZeneca.
KuDOS Pharmaceuticals currently has some 75 employees deployed on two UK sites:
Cambridge and Horsham. AstraZeneca's immediate plans are for KuDOS
Pharmaceuticals to become a hub for DNA repair discovery activities reporting
into the Global Cancer and Infection Research Area (CIRA) and it will remain at
its present sites. CIRA also has discovery hubs in Alderley Park (UK), Boston
(US) and Bangalore (India).
'Our scientists are looking forward to working within the AstraZeneca research
framework, which is recognised as being a world leader in oncology,' said Dr
Graeme Smith, Research Director of KuDOS Pharmaceuticals.
AstraZeneca is a major international healthcare business engaged in the
research, development, manufacture and marketing of prescription pharmaceuticals
and the supply of healthcare services. It is one of the world's leading
pharmaceutical companies with healthcare sales of over $21.4 billion and leading
positions in sales of gastrointestinal, cardiovascular, respiratory, oncology
and neuroscience products. AstraZeneca is listed in the Dow Jones
Sustainability Index (Global) as well as the FTSE4Good Index.
KuDOS Pharmaceuticals' current shareholders include investment funds represented
by Advent Venture Partners, BankInvest Biomedical Venture, Euclid SR Partners,
Johnson & Johnson Development Corporation, Life Science Partners (LSP), 3i, and
SV Life Sciences, who were advised on the transaction by Lazard.
23 December, 2005
Media Enquiries
Edel McCaffrey, Tel: +44 (0) 207 304 5034
Steve Brown, Tel: +44 (0) 207 304 5033
Investor Enquiries:
Mina Blair, Tel: +44 (0) 207 304 5084
Jonathan Hunt, Tel: +44 (0) 207 304 5087
Ed Seage, Tel: +1 302 886 4065
Jorgen Winroth, Tel + 1 212 579 0506
KuDOS Pharmaceuticals:
Dr Barrie Ward, Chief Executive Officer, tel: +44 (0)1223 719719
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This information is provided by RNS
The company news service from the London Stock Exchange