AstraZeneca to buy Caelum in $500m deal

AstraZeneca said on Wednesday that its newly-acquired Alexion business will buy the remaining shares of drug maker Caelum Biosciences for up to $500m.

The company said it was buying Caelum for CAEL-101, "a potentially first-in-class fibril-reactive monoclonal antibody (mAb)" for the treatment of light chain (AL) amyloidosis.

AL amyloidosis is a rare disease in which misfolded amyloid proteins build up in organs throughout the body, including the heart and kidneys, causing significant organ damage and failure that may ultimately be fatal.

Alexion chief executive Marc Dunoyer said: "With a median survival time of less than 18 months following diagnosis, there is an urgent need for new treatments for this devastating disease. CAEL-101 has the potential to be the first therapy to target and remove amyloid deposits from organ tissues, improve organ function, and, ultimately, lead to longer lives for these patients."

Alexion and Caelum first entered in a collaboration in 2019 whereby Alexion acquired a minority equity interest and an exclusive option to buy the remaining equity in Caelum. Alexion currently consolidates Caelum and reflects a non-controlling interest of $150m.

Upon closing of the acquisition - which is expected to take place on 5 October - Alexion will pay Caelum the agreed option exercise price of around $150m, with the potential for additional payments of up to $350m dependent on the achievement of regulatory and commercial milestones.