Lundbeck picks up Parkinson's candidate with 905 million-euro buy of Prexton

Danish CNS specialist Lundbeck (LUND: CO) has signed a definitive agreement in which it will acquire Prexton Therapeutics, a Switzerland and Netherlands-based company that was created in 2012 as the first of a number of spin-outs from Germany’s Merck KGaA (MRK: DE).

Under terms of the accord, Lundbeck will pay 100 million ($123 million) upfront and is also required to later pay up to 805 million ($992 million) in development and sales milestones to the group of current owners. Lundbeck’s shares dipped 1% to 339.10 Danish kroner on the news.

By acquiring Prexton, Lundbeck will obtain global rights to foliglurax, which currently is in clinical Phase II testing for symptomatic treatment of OFF-time reduction in Parkinson's disease and dyskinesia including levodopa -induced dyskinesia (LID). First data from the ongoing clinical Phase II program is expected to be available during the first half of 2019.