Daiichi Sankyo to buy Ambit Biosciences for up to $410 million

Japanese drug major Daiichi Sankyo (TYO: 4568) and Ambit Biosciences (Nasdaq: AMBI) have entered into a definitive merger agreement under which Daiichi Sankyo will acquire all of the outstanding common stock of Ambit Biosciences. Under the terms of the deal, Daiichi Sankyo has offered $15 per share in cash through a tender offer followed by a merger with a subsidiary of Daiichi Sankyo, or around $315 million on a fully diluted basis.

In addition to the upfront cash payment, each Ambit Biosciences stockholder will receive one contingent value right (CVR), entitling the holder to receive an additional cash payment of up to $4.50 for each share they own if certain commercialization related milestones are achieved. The total transaction is valued at up to $410 million on a fully diluted basis.

Ambit Biosciences is focused on the discovery and development of medicines to treat unmet medical needs in oncology, autoimmune and inflammatory diseases by inhibiting enzymes that are important drivers for those diseases.