OSI to acquire Cell Pathways

Cancer company OSIP will acquire cancer play CLPA for about $32 million in stock. OSIP will offer 0.0567 of its shares for every CLPA share. Based on OSIP's Friday close at $14.18, the deal values CLPA at $0.80 per share -- a 58% premium to CLPA's Friday close at $0.51. As a result of the acquisition, OSIP will gain CLPA's Aptosyn exisulind and CP461, both of which are cGMP phosphodiesterase 1,2 and 5 inhibitors. Aptosyn is in Phase III trials in combination with Taxotere docetaxel from Aventis (AVE) to treat advanced non-small cell lung cancer (NSCLC). OSIP said it will cost $8-$12 million to complete the trial. CP461 is in Phase II trials to treat chronic lymphocytic leukemia, renal cell carcinoma, prostate cancer and inflammatory bowel disease. Each CLPA share may be eligible for an additional 0.04 OSIP share if an NDA is filed for Aptosyn or CP461. ...