Janssen Biotech has agreed to acquire NYU spinout Benevir for a total of up $1.04bn, including $140m in an upfront payment.
Benevir Biopharm, a US-based immunotherapy developer based on research at New York University (NYU), is set to be acquired by biotechnology firm Janssen Biotech for up to $1.04bn.
The amount includes an upfront cash payment of $140m, with another $900m dependent on certain predetermined milestones. The transaction is expected to conclude in the second quarter of 2018, following customary closing conditions.
Founded in 2011, Benevir is developing viral immunotherapies that target advanced tumours which do not respond to current treatments. The company’s platform, T-Stealth, is based on research conducted by Ian Mohr, professor of microbiology in NYU’s School of Medicine.
Janssen did not specify what it intends to do with Benevir’s assets, but noted that the team, including chief executive and co-founder Matt Mulvey, will join the corporate and continue to work on oncolytic viral immunotherapy.
Benevir is currently majority-owned by Pansend Life Sciences, a subsidiary of diversified holdings group HC2 Holdings, which holds approximately 76% in the business.
Pansend invested $2m in series A funding in 2014, before returning in 2016 to support a $6m round. Benevir also obtained $2m in debt financing in November 2017, according to a regulatory filing.
Mulvey said: “Our goal at BeneVir has been to develop T-Stealth, an oncolytic immunotherapy platform, to help patients whose tumours do not respond to current therapeutic options including immune checkpoint inhibitors.
“We are excited to join the Janssen team and continue to innovate in the field of oncolytic viral immunotherapy.”
