March 15 Quick Takes: Rival bid could upend Redx-Jounce deal

Jounce Therapeutics Inc. (NASDAQ:JNCE) acknowledged receipt of an unsolicited takeover offer from the Concentra Biosciences LLC affiliate of shareholder Tang Capital, representing a rival bid to Jounce’s planned merger with Redx Pharma plc. Tang, which has a 10.2% stake in Jounce, offered $1.80 per share plus a contingent value right that would return to shareholders 80% of the proceeds of a deal for certain Jounce assets. The Redx merger agreement, which was recommended by both companies’ boards last month and is pending shareholder approval, would give Redx’s shareholders 63% of the combined company, and Jounce’s the balance. Jounce’s shares rose $0.43 (41%) to $1.49 on Wednesday.

Data from the Phase III ADORING 2 study of Vtama tapinarof cream to treat atopic dermatitis will bolster  Dermavant Sciences Ltd.’s case to expand the product’s U.S. label beyond plaque psoriasis. The once-daily aryl hydrocarbon receptor agonist met the primary endpoint of Validated Investigator Global Assessment for Atopic Dermatitis (vIGA-ADTM) response of clear (0) or almost clear (1) with at least a two-grade improvement from baseline at Week 8, with 46% of the treatment group meeting the criteria versus 18% of the vehicle group (p<0.0001). Shares of parent company Roivant Sciences Ltd. (NASDAQ:ROIV) rose $0.63 to $8.59 Wednesday...