Baxter buys AesRx, gaining rights to investigational SCD drug

US drugmaker Baxter International (NYSE: BAX) said yesterday that it has acquired AesRx, a private US biopharmaceutical company focused on orphan drug targets, including the development and commercialization of Aes-103, an investigational prophylactic treatment for sickle cell disease (SCD).

Specific terms of the transaction were not disclosed, but Baxter said it made an initial payment to acquire the company and may make additional future payments based on specified development, regulatory and commercial milestones

Aes-103 is a first-in-class, oral, small molecule compound (5-hydroxymethylfurfural).  Early studies indicate the compound may work by binding to hemoglobin and increasing oxygen affinity and stabilization, thereby reducing the sickling of red blood cells which, in turn, may reduce sickling-related outcomes such as vaso-occlusive crisis, pain, severe anemia and fatigue. Aes-103 has received orphan designation from the US Food and Drug Administration and is eligible for orphan status in Europe.