ARTICLE | Company News

Cephalon, Mesoblast in regenerative medicines deal

December 8, 2010 1:09 AM UTC

Mesoblast Ltd. (ASX:MSB; Pink:MBLTY) and Cephalon Inc. (NASDAQ:CEPH) partnered to develop and commercialize products derived from Mesoblast's adult Mesenchymal Precursor Stem Cell (MPC) technology. Mesoblast will receive $130 million up front and is eligible for development and regulatory milestones of up to $1.7 billion, plus royalties. Additionally, Cephalon will make an equity investment of about $220 million in Mesoblast through the purchase of a 19.99% stake in Mesoblast at A$4.35 per share. The deal covers products for cardiovascular and CNS indications, as well as products to augment hematopoietic stem cell transplantation in cancer patients. It includes Mesoblast's Revascor, which is in Phase II testing for congestive heart failure. ...