Bayer is to acquire KaNDy Therapeutics Ltd, a UK clinical-stage biotech company.
Under the terms of the agreement, Bayer will pay an upfront consideration of $425m, potential milestone payments of up to $450m until launch followed by potential additional triple digit million sales milestone payments.
Closing is subject to customary conditions, in particular anti-trust approval, and is expected by September 2020.
Founded in 2017 as a spin-off from NeRRe Therapeutics Ltd. and led by Dr. Mary Kerr, CEO, KaNDy Therapeutics is a private clinical-stage biotech company that recently completed and published the Phase IIb dose range finding study results for its’ investigational compound, NT-814, a potential first in class, orally administered once-daily, neurokinin-1,3 receptor antagonist which showed positive findings for the treatment of moderate to severe vasomotor symptoms due to menopause. The start of Phase III clinical trial is expected for 2021. Once approved, the compound could generate peak sales potential of more than €1 billion globally.
Kandy is backed by internationally recognised life sciences investors: Advent Life Sciences, Fountain Healthcare Partners, Forbion Capital Partners, OrbiMed and Longitude Capital.
The acquisition augments Bayer’s own women’s healthcare portfolio through strategic collaborations and agreements. Earlier in 2020, the company announced the expansion of its partnership with Evotec with a new five-year, multi-target collaboration to develop multiple clinical candidates for the treatment of polycystic ovary syndrome (PCOS), the most frequent endocrine disorder in pre-menopausal women. Also, in January 2020, Bayer signed an exclusive license agreement with Daré Bioscience for the U.S. market, focused on its investigational, hormone-free, monthly vaginal contraceptive currently in clinical development for the prevention of pregnancy.