Galapagos, Gilead get US FTC nod to close global partnership on filgotinib

Biotech firm Galapagos NV (Euronext: GLPG) and Gilead Sciences (Nasdaq: GILD) on Wednesday said the US Federal Trade Commission has cleared the global partnership agreement on filgotinib and now the deal is expected to close by the end of the month.

Upon closing, Galapagos will receive an upfront license fee of $300 million and Gilead will make a $425 million equity investment in Galapagos by subscribing for shares at a price of 58 euros per share, the companies said in a joint statement.

After the issuance of the shares, Gilead will own approximately 15% of the outstanding share capital of Galapagos, depending on the dollar to euro exchange rate at closing.