Thousand Oaks, Calif.-based Amgen has officially acquired South San Francisco-based Five Prime for $38 per share in cash, reaching an equity value of approximately $1.9 billion. The acquisition was initially announced on March 4, 2021.
As of the expiration of the tender offer, nearly 40.4 million shares were validly tendered and not properly withdrawn in the tender offer, representing 87.8% of Five Prime’s outstanding shares, according to a news release. Amgen has accepted for payment all such validly tendered shares and will promptly pay for them, the company said.
With the acquisition completed, Amgen is set to add Five Prime’s pipeline to its oncology portfolio. Five Prime’s lead asset, bemarituzumab, is a first-in-class, Phase 3-ready anti-FGFR2b antibody for advanced gastric or gastroesophageal junction cancer. Trial results for the therapeutic suggest that FGFR2b could be used in treating other epithelial cancers, including lung, breast, ovarian and more.
Additionally, the acquisition is slated to support Amgen’s strategy for international expansion and further pipeline programs complement Amgen’s numerous injectable and oral oncology therapeutics.
“Five Prime fits squarely within Amgen’s leading oncology portfolio and includes bemarituzumab, a Phase 3 trial-ready, first-in-class program for gastric cancer, the third leading cause of cancer mortality worldwide,” Amgen chairman & CEO Robert A. Bradway said in the release. “Working with the dedicated professionals joining us from Five Prime, we plan to quickly move bemarituzumab into a Phase 3 study, bringing it one step closer to helping patients suffering from gastric cancer.”
In the initial announcement of the planned merger, Amgen reaffirmed its full-year outlook with revenue guidance of between $25.8 billion and $26.6 billion and adjusted EPS projections of $16 to $17.