Alkermes Acquires Rodin Therapeutics in $950 Million DealBy
Alkermes, a developer of treatments for central nervous system diseases and oncology, has completed its acquisition of Rodin Therapeutics, a company developing small molecules for treating neurologic diseases, in deal worth up to $950 million ($100 million upfront and up to $850 million in milestones). Alkermes had announced the acquisition earlier this month (November 2019).
Rodin is focused on developing orally available, brain-permeable small-molecule therapeutics for synaptic dysfunction by designing molecules that target specific histone deacetylase (HDAC) complexes.
Synaptic dysfunction is a pathologic feature in many neurodegenerative and neuropsychiatric diseases, and synaptic loss correlates closely with cognitive decline. Rodin’s approach is designed to reactivate neuronal gene expression, strengthen existing synapses, and promote the creation of new synapses while minimizing known HDAC class-based hematologic safety concerns.
At the closing of the transaction, Alkermes made an upfront cash payment of $100 million (subject to customary adjustments) to Rodin’s former security holders. Under the agreement, Rodin’s former security holders are eligible to receive future payments of up to $850 million upon achievement by Rodin’s development candidates of certain specified clinical and regulatory milestones and attainment of certain sales thresholds.