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ARTICLE | Company News

Orexo acquiring Biolipox

October 16, 2007 1:55 AM UTC

Orexo (SSE:ORX) proposed to acquire Biolipox (Stockholm, Sweden) for 8.6 million shares of ORX stock, which would value the inflammation, neurology and pulmonary company at SEK776.8 million ($120.9 million) based on ORX's close of SEK90.75 on Friday, before the deal was announced. Biolipox shareholders would own 38% of the combined company, and Biolipox CEO Torbjorn Bjerke would be president and CEO. ORX CEO Zsolt Lavotha will depart.

The deal would give ORX Biolipox's NLA cetirizine nasal spray, which was in-licensed from NicOx (Euronext:COX) in 2002 and is in Phase II testing for allergic and non-allergic rhinitis. ORX also would gain three preclinical programs: eoxin inhibitors for asthma and chronic obstructive pulmonary disease (COPD), an undisclosed compound for asthma and a selective prostaglandin E2 (PGE2) receptor inhibitor to treat pain. ...