Celgene to buy Avila; posts strong 4th-qtr results

USA-based Celgene (Nasdaq: CELG) yesterday revealed that  it has entered into a definitive merger deal to acquire Avila Therapeutics, a privately held biotechnology company developing targeted covalent drugs that treat diseases through protein silencing.

Under the terms of the merger agreement, Celgene will acquire Avila for $350 million in cash, plus up to $195 million for milestones contingent upon the development and regulatory approval of AVL-292, as well as up to $380 million in potential milestone payments contingent upon the development and approval of candidates generated from the Avilomics platform.

The acquisition positions Celgene to expand its leading role in the future treatment of hematologic cancers with Avila’s AVL-292, a highly-selective Bruton’s tyrosine kinase (Btk) inhibitor, currently in Phase I clinical development. In addition, Avila’s proprietary Avilomics Platform augments Celgene’s investment in the discovery and development of novel therapeutics for managing complex disorders.