Oncodesign to acquire GSK research center in France

Shares of French biotech firm Oncodesign (Euronext Paris: ALONC) leapt 18.2% to 18.35 euros, after the company revealed it has signed an agreement to acquire the François Hyafil Research Center located in Villebon-sur-Yvette (Essonne) from UK pharma major GlaxoSmithKline (LSE: GSK), part of the Paris Saclay innovation cluster, including transfer of the team of highly qualified drug discovery staff located at the site (anticipated to be 57 employees).

Under the terms of the deal, GSK will provide 35 million euros ($39.3 million) support over a four year period, and Oncodesign will use this funding to integrate the site and its capabilities into its business and ensure the continued employment of the transferring staff over this period. The agreement is expected to become unconditional and effective by or on December 1, 2016.

Established in 1987 and located in a new state-of-the-art research facility opened in 2010, the François Hyafil Research Center was most recently a Flexible Discovery Unit that provided scientific expertise and resources to support drug discovery and incubate new science within GSK. The capabilities within the facility include delivery of medicinal chemistry, biology, in vivo pharmacology and drug metabolism/pharmacokinetics capabilities with experience in many therapeutic areas.