(Reuters) -Hong Kong-listed Sino Biopharmaceutical said on Tuesday it will buy the remaining 95.09% stake it does not hold in Shanghai-based LaNova Medicines for no more than $950.92 million.
The acquisition of the cancer treatment developer will enhance Sino’s competitiveness and influence in oncology innovation, while also enabling potential future international transactions by leveraging LaNova’s R&D capabilities, it added.
Sino added LaNova will become an indirect wholly owned subsidiary once the deal is completed, which is expected within 30 business days after regulatory conditions are met.
The firm had already bought a 4.91% stake in LaNova in November last year, paying around 142 million yuan ($19.80 million) at the time.
LaNova Medicines was founded in 2019, specialising in discovering and developing antibody-based cancer treatments, according to details mentioned on their website.
In November last year, Merck licensed an early-stage cancer drug LM-299 from LaNova in a deal worth up to $3.3 billion, taking over its development.
The drug candidate targets the PD-1 protein, which prevents the immune system from killing cancerous cells. It also curbs levels of VEGF protein, which can encourage tumor growth if found in excess.
($1 = 7.1729 Chinese yuan renminbi)
(Reporting by Shivangi Lahiri in Bengaluru; Editing by Janane Venkatraman, Mrigank Dhaniwala and Vijay Kishore)
