Spectrum extends tender offer for Allos

US biotech firm Spectrum Pharmaceuticals (Nasdaq: SPPI) said late Friday that it has again extended tender offer to purchase all of the outstanding shares of common stock of Allos Therapeutics (Nasdaq: ALTH; The Pharma Letter April 10) for $1.82 per share in cash (around $206 million in total), plus one contingent value right, which entitles Allos stockholders to an additional payment of $0.11 per share in cash if certain European regulatory approval and commercialization milestones for lymphoma drug Folotyn (pralatrexate injection), a folate analog metabolic inhibitor, are achieved.

Shares of Spectrum closed at $16.94 Friday and were unchanged in after-hours trading. The stock has jumped 53% over the past three months. Allos stock closed up 1.7% at $1.78 I regular trading that same day/

On June 21, 2012, Spectrum was informed by Allos that the European Commission had recommended against the approval of Folotyn and there was no longer any possibility that such milestones would be achieved. Accordingly, no value should be ascribed to the CVR and the price for each share of common stock of Allos will be $1.82 per share in cash, without interest and less any applicable withholding taxes. Folotyn was approved by the US Food and Drug Administration for the first treatment of a form of cancer known as peripheral T-cell lymphoma (PTCL), an often aggressive type of non-Hodgkins lymphoma (TPL September 28, 2009).