Sumitomo Dainippon Pharma to Acquire Tolero Pharmaceuticals, Inc. (US Biotechnology Company)
Sumitomo Dainippon Pharma Co., Ltd. (Head office: Osaka, Japan; President: Masayo Tada; Securities Code: 4506, First Section of TSE, "Sumitomo Dainippon Pharma") announced today that the company and Tolero Pharmaceuticals, Inc. (Head office: Lehi, UT, U.S., CEO: David J. Bearss., "Tolero") have reached an agreement on December 21, 2016 on the acquisition of Tolero through U.S. Holding company wholly owned by Sumitomo Dainippon Pharma.
According to the terms of the agreement, Sumitomo Dainippon Pharma will make an upfront payment of US$ 200 million to the shareholders of Tolero on closing of the acquisition, and thereafter it will make development milestone payments up to US$ 430 million related to the compounds being developed by Tolero based on its progress. Furthermore, after the launch, Sumitomo Dainippon Pharma will also make commercial milestone payments up to US$ 150 million, based on the net sales of the compounds.
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