Gesgenerics and OWL: M&A biotech sector in June 2015
16/07/2015
Diego Gutiérrez
Gesgenerics and OWL: M&A biotech sector in June 2015
Foreign biotechs are interested in Spanish companies. Gesgenéricos has been bought by Israel's Altan Pharma and the Basque company OWL has granted Galmed an option to buy up to 19.9 % of the company.

 

Altan Pharma buys Gesgenerics

 The Irish Altan Phrama enters Spain with the acquisition of the pharmaceutical group GesGenéricos for €87.5M. "To finance the transaction, Altan has received €34.5m from the investment company Malin and a loan from Santander bank," says Diego Gutiérrez of Abra-Invest.

Altan is a pharmaceutical company that has recently been created by four professionals from the following backgrounds Abbott Laboratories. The acquisition of the GES group represents the realisation of the first milestone in Altan's long-term strategic plan to create a global specialty pharmaceutical company. The acquisition of GES will enable Altan to enter the injectable pharmaceuticals sector in Europe and selected Asian and Latin American markets.

 GESGenerics is a privately owned group of Spanish companies based in Madrid, which develops, manufactures and commercialises specialised injectable drugs for the hospital and healthcare provider market. GES has been offering the Spanish market a complete line of injectable drugs since 1985.

OWL signs agreement with Galmed Pharmaceuticals

The Basque biotech company OWL, which leads the market in the use of metabolomics for the development of liver disease diagnostics, has announced a licensing and research agreement and option to purchase an equity interest with Israel's Galmed Pharmaceuticals.

The agreement aims to develop a non-invasive test that will include a series of unique metabolomic biomarkers that will potentially predict the therapeutic response to Aramchol, a daily oral treatment for the treatment of non-alcoholic steatohepatitis.

 In addition, an agreement has been formalised to regulate Galmed's equity participation in OWL through the purchase of shares linked to 2 key milestones of the project. The first payment of €75,000 will be made upon completion of the interim analysis of the Arrest study scheduled for the first half of 2016 and the second payment of €100,000 will be made upon completion of the ARREST study. The expected investment in OWL will be €175,000, at the company's most recent valuation. Finally, OWL has granted Galmed an option to purchase up to 19.9 % of the company.

 

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