AstraZeneca PLC said Monday that it has agreed to buy CinCor Pharma, Inc., acquiring global rights to the latter's baxdrostat cardiorenal drug for an upfront transaction value of around $1.3 billion.
The Anglo-Swedish pharma giant said that it will initiate a tender offer to acquire all of U.S.-listed clinical-stage biopharmaceutical company CinCor's outstanding shares, for a price of $26 a share in cash at the closing of the deal, along with a non-tradable contingent value right of $10 a share in cash payable upon a specified regulatory submission of a baxdrostat product. The deal is expected to close in the first quarter.
The upfront cash portion of the acquisition represents a 121% premium to CinCor's closing market price on Jan. 6 of $11.78. The combined upfront and maximum potential contingent value payments represent a transaction value of around $1.8 billion. AstraZeneca said the acquisition will bolster its cardiorenal pipeline by adding baxdrostat, an inhibitor for blood pressure lowering in treatment-resistant hypertension.