ARTICLE | Finance

Moving On

VCs to cash in after Shire's partnering talks evolve into a buyout of Movetis

August 9, 2010 7:00 AM UTC

It is not often that the evolution of a biotech company follows the script, but Movetis N.V. (Euronext: MOVE) has done just that. Since being spun out from Johnson & Johnson (NYSE:JNJ) three-plus years ago, Movetis has raised a single private round, got its lead product approved, completed the second largest IPO of 2009, and last week announced it will be acquired by Shire plc (LSE:SHP; NASDAQ:SHPGY).

Movetis spun out of J&J in 2006 with a portfolio of GI programs led by Resolor prucalopride, a serotonin (5-HT4) receptor agonist that had completed three Phase III trials for chronic constipation. In parallel, the newco raised €49 million ($64.7 million) in series A money from a VC syndicate that believed the available clinical data would only need to be supported by additional preclinical work in order to get the product approved...