#Onyx arranger full#

Several of its current drugs offer supportive care for cancer patients, such as treating anemia or decreases in white blood cells caused by chemotherapy.Īnother of Amgen's newer medicines, Xgeva, helps prevent fractures in patients whose cancer has spread to the bone. The Onyx deal is expected to give Amgen a much higher profile in oncology. Recent deals include generic drug maker Actavis' $8.5 billion acquisition of Warner Chilcott and Human Genome Sciences' $3 billion sale to GlaxoSmithKline. This helped drive up the volume of healthcare M&A in the first six months of 2013 more than 30% compared with the same period last year. Large pharmaceutical companies have increasingly been looking to acquire smaller biotech firms to gain access to new drugs, as they face significant revenue losses stemming from expired patents.

He has done a handful of much smaller deals, the biggest to date being a $1.16 billion acquisition of Micromet.

It is also by far the biggest deal under CEO Bob Bradway, who assumed the top spot in May 2012. The Onyx deal is Amgen's biggest since its $16 billion acquisition of Immunex in 2001 which gave it the rheumatoid arthritis drug Enbrel, now one of Amgen's biggest-selling products. A source familiar with the matter on Sunday said that Amgen believed it had done extensive due diligence and was comfortable with the purchase. Amgen expects it to add to adjusted net income in 2015.ĭiscussions between Amgen and Onyx hit a snag earlier this month after Amgen sought access to data from Onyx's ongoing clinical trials, people familiar with the matter told Reuters previously. The companies expect the deal to close in the beginning of the fourth quarter. Onyx said that bid significantly undervalued the company and put itself up for sale.

Also, patents on four of its five top-selling drugs are set to expire starting in 2015.Ĭancer medicines are the Holy Grail for many drug makers because current products have limited effectiveness and the companies can charge steep prices for new biotech treatments.Īmgen said it will pay $125 per share for Onyx, a 4.2% increase from the $120 a share it offered in June. Thousand Oaks, California-based Amgen has faced growing pressure to beef up its drug development pipeline as safety concerns have trimmed sales of its flagship anemia drugs, Aranesp and Epogen. The world's largest biotechnology company will also gain a revenue stream from the liver and kidney cancer drug Nexavar that Onyx shares with Bayer, as well as royalty payments on Bayer's much newer colon cancer drug, Stivarga, and potential future royalties on an experimental breast cancer drug being developed by Pfizer Inc.

#Onyx arranger full#

It gives Amgen full rights to Kyprolis, the new multiple myeloma drug that analysts expect to reach annual peak sales in excess of $2 billion. The acquisition - which ends a two-month-long auction of Onyx - represents the fifth-largest biotechnology deal in history. Amgen struck a deal to buy cancer drug maker Onyx Pharmaceuticals for about $10.4 billion on Sunday, as it moves to restock its product pipeline in response to declining sales of its flagship anemia drugs.