Baxter acquiring Inspiration hemophilia compound

Inspiration Biopharmaceuticals Inc. (Cambridge, Mass.) and partner Ipsen Group (Euronext:IPN; Pink:IPSEY) said Baxter International Inc. (NYSE:BAX) will acquire Inspiration's hemophilia compound, OBI-1, as well as Ipsen's OBI-1 manufacturing facility in Milford, Mass. The recombinant porcine Factor VIII is in Phase III testing for hemophilia A. Baxter said it will continue all development work for the compound on its own.

Inspiration and Ipsen will receive $50 million up front from Baxter, with Ipsen receiving about 60% of the payment. The partners also are eligible for up to $135 million in milestones, plus tiered double-digit royalties. Ipsen will receive about 80% of payments up to $304 million, and 50% thereafter. Ipsen is the only senior secured creditor of Inspiration, which filed for Chapter 11 bankruptcy in October and said it would seek to sell its assets, including OBI-1. The sale of OBI-1 is subject to the approval of the U.S. Bankruptcy Court for the District of Massachusetts. Evercore Partners advised Ipsen and Inspiration. Ipsen was up EUR 1.15 to EUR 26.31 on Thursday. ...