Sun Pharma to Acquire Checkpoint Therapeutics in a Landmark Deal

In a significant move to expand its specialty portfolio, Sun Pharma, India's largest drugmaker, has announced the acquisition of Nasdaq-listed Checkpoint Therapeutics for $355 million (over Rs 3000 crore). This strategic acquisition includes UNLOXCYT, an FDA-approved treatment for advanced skin cancer, marking a pivotal step in Sun Pharma's commitment to innovative onco-derm therapy.

What This Means for Patients and the Industry

Dilip Shanghvi, CMD of Sun Pharma, highlighted the importance of this acquisition, stating, "Combining UNLOXCYT with Sun Pharma’s global presence means patients may soon have access to an important, new treatment option." This deal not only strengthens Sun Pharma's position in the global market but also promises accelerated access to UNLOXCYT in the United States, Europe, and other markets worldwide, as noted by James Oliviero, president and CEO of Checkpoint.

Financial Details and Future Prospects

Upon completion of the transaction, Sun Pharma will acquire all outstanding shares of Checkpoint, with stockholders receiving an upfront cash payment of $4.10 per share. The deal, subject to shareholder and regulatory approvals, is expected to be finalized by Q2CY25. Additionally, a royalty agreement has been established between Checkpoint, Sun Pharma, and Fortress Biotech, ensuring Fortress receives royalty payments based on future sales of cosibelimab.

For the nine-month period ending September 2024, Checkpoint reported revenues of $0.04 million and a net loss of $27.3 million, with R&D expenses totaling $19.3 million. This acquisition represents a significant investment in the future of oncology treatment and Sun Pharma's dedication to advancing healthcare solutions.