BioCentury
ARTICLE | Company News

Ceregene, Sangamo deal

September 2, 2013 7:00 AM UTC

Sangamo will acquire gene therapy company Ceregene for 100,000 shares of Sangamo stock, or about $1 million based on Sangamo's close of $10.35 on Aug. 26, before the deal was announced. Ceregene stockholders will also receive Ceregene's cash at closing minus expenses and are eligible for earn-out payments based on licensing or sales of Ceregene's CERE-110 for Alzheimer's disease or CERE-120 for Parkinson's disease or Huntington's disease. CERE-110 is an adeno-associated viral (AAV) vector encoding nerve growth factor (NGF), and CERE-120 is an AAV Type 2 vector encoding the neurturin (NTN) gene. If Sangamo grants a third party a license to develop and commercialize the products, Ceregene stockholders will receive a double-digit percentage of any upfront and milestone payments. If Sangamo commercializes the products itself, Ceregene stockholders will receive low double-digit royalties on net sales. The acquisition is expected to close this month. ...