Gilead Sciences has inked a deal to scoop up biopharmaceutical firm CymaBay Therapeutics for a hefty $4.3 billion, or $32.50 per share, in cold hard cash. This transaction is expected to beef up Gilead's liver disease treatment arsenal by adding CymaBay's promising drug candidate seladelpar, currently under review for treating primary biliary cholangitis (PBC), a condition that can lead to liver failure. The purchase price represents a 27 percent premium over CymaBay's closing share price on February 9, 2024, as reported by Gilead Sciences' press release.
"We are looking forward to advancing seladelpar by leveraging Gilead's long-standing expertise in treating and curing liver diseases," Gilead Chairman and CEO Daniel O’Day elaborated in a statement obtained by Gilead Sciences. Meanwhile, the PBC patient community anticipates potential relief as seladelpar is expected to mitigate the debilitating symptoms of pruritus and fatigue, according to the same source.
The shareholders of both Gilead and CymaBay are getting a nod of approval on the deal from their respective Boards of Directors, with the tender offer set to wrap up during the first quarter of 2024, pending the usual rigmarole of regulatory approvals. Financial heavyweights BofA Securities, Inc. and Guggenheim Securities, LLC are backing Gilead on the money front, with Centerview Partners LLC and Lazard advising CymaBay, as detailed in the press release from Gilead Sciences.
On a scientific note, seladelpar is getting the thumbs up from the FDA, which has granted it priority review status. This perk could streamline its journey to market, especially after clearing a pivotal Phase 3 trial with flying colors, showcasing significant improvement in patients with moderate-to-severe itch. Sujal Shah, CymaBay's CEO, shared his enthusiasm by stating, "Now that seladelpar has achieved priority review with the FDA, we are excited that Gilead, with its long-standing commitment to patients with liver disease, can apply its regulatory and commercial expertise to bring seladelpar as quickly as possible to people with PBC." The drug has also nabbed Breakthrough Therapy Designation, PRIME status, and Orphan Drug Designation on both sides of the Atlantic, according to the press release.
