Genentech adds to breast cancer pipeline with Seragon buyout

Genentech has entered into an agreement to buy Seragon, a San Diego-based biotech company that specialises in developing treatments that target hormone-driven cancers, for up to $1.725 billion.

The Roche-owned company will acquire rights to Seragon’s entire portfolio of investigational next-generation oral selective oestrogen receptor degraders (SERDs), which can be used to treat certain types of breast cancer.

This will include Seragon’s Phase I programme ARN-810, a next-generation SERD for women who have hormone receptor-positive breast cancer.

Genentech said the programme will complement its existing breast cancer research and development programmes. After the transaction is completed, the portfolio will be integrated into Genentech’s research and early development arm.

Richard Scheller, executive vice president of Genentech Research and Early Development, said that this year breast cancer will claim the lives of nearly 40,000 women in the US. Up to half of these women will have a disease that is driven by the oestrogen receptor, he added.

“We believe these investigational oral SERDs could one day redefine the standard of care for hormone receptor-positive breast cancer.”

Seragon will receive an upfront cash payment of $725 million, and could get additional payments of up to $1 billion depending on it reaching “predetermined milestones”.

The deal is expected to close in the third quarter of 2014.