Deals and Financings

OrbiMed, a global healthcare investor, closed its third Asia private equity fund with $551 million in capital commitments, about $100 million more than the target listed in its initial filing six months ago (see story). OrbiMed Asia Partners III will consider investments in all parts of Asia healthcare, but it expects to focus on growth-stage product and service companies in China and India. The Fund plans to make 15-20 investments that range from $10 to $75 million each. OrbiMed’s two previous Asia funds totaled slightly less than $500 million.  

Innovent Biologics of Suzhou announced a $457 million deal to acquire global rights for a small-molecule IDO inhibitor, which it intends to pair with its PD-1 candidate, IBI308 (see story). Both molecules are immuno-therapies, but their mechanisms are different. Innovent made the deal with the Shanghai Institute of Organic Chemistry, Chinese Academy of Sciences. The agreement specifies an upfront payment plus milestones and a royalty, though details were not disclosed. In 2015, Lilly (NYSE: LLY) agreed to a $1 billion deal for ex-China rights to as many as nine Innovent biologic candidates; IBI308 is one of them.

3SBio (HK: 1530) of Shenyang will pay $290 million to acquire the biologic contract development and manufacturing operations of Therapure, a Toronto area biopharma focused on plasma drugs (see story). 3SBio formed a JV with CPE Funds, the private equity arm of CITIC, to complete the purchase. Therapure will spin off its plasma-based drug manufacturing and commercialization operations into a new company, called ProductsCo. In addition to the $290 million purchase price, 3SBio/CPE will contribute $16-$20 million to ProductsCo for the construction of a manufacturing facility. 3SBio, a China innovative biologic drug company, positioned the acquisition as a move into a new market that will provide the opportunity for future alliances with North American biopharmas.