Biogen on Wednesday announced plans to acquire Human Immunology Biosciences, or HI-Bio, a company developing targeted therapies for immune mediated diseases, for $1.15B upfront and up to $650M in potential milestone payments related to felzartamab development to HI-Bio shareholders, William Blair analyst Myles Minter tells investors in a research note. Biogen expects to finance the deal with cash and could also draw on its revolving credit agreement, which the firm views as likely given its cash position of $1.1B and net debt of $5.5B as of March 31. William Blair made no change to its Outperform rating on Biogen shares and sees “decent” value for the midstage first-in-class autoimmune asset.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on BIIB:
- Biogen Bolsters Late-Stage Pipeline, Expands Immunology Portfolio with Agreement to Acquire Human Immunology Biosciences
- Biogen says won’t exercise option to license and lead development of BIIB121
- Biogen and Ionis Announce Topline Phase 1/2 Study Results of Investigational Drug in Amyotrophic Lateral Sclerosis
- Biogen, Ionis terminate development of BIIB105 based on data from ALSpire study
- Eisai/Biogen initiate FDA BLA for LEQEMBI