Pharmacosmos Acquires G1 Therapeutics for $405 Million in Cash

Denmark-based Pharmacosmos A/S on August 7, 2024, entered a merger agreement to acquire G1 Therapeutics Inc. (GTHX) through its U.S. subsidiary Pharmacosmos Therapeutics Inc. for about $405 million.

Deal Structure:

As per the terms of the agreement, Pharmacosmos will commence a cash tender offer to acquire all issued and outstanding shares of G1 common stock for $7.15 per share in cash, representing a premium of 68.24% from the stock’s last close.

Company Profile:

G1 Therapeutics is a commercial-stage biopharmaceutical company focused on developing and delivering next-generation therapies for cancer, including its first product, Cosela, which reduces chemotherapy-induced myelosuppression. Based in Research Triangle Park, North Carolina, G1 provides advanced treatments for various cancers, including metastatic triple-negative breast cancer and small-cell lung cancer.

Pharmacosmos is a Denmark-based company specializing in carbohydrate chemistry and developing treatments for iron deficiency and iron deficiency anemia.

Deal Details and Timeline:

The deal, through which Cosela will be added to Pharmacosmos’ portfolio, is expected to close late in the third quarter of 2024.

“This deal will enable broader and better access for patients in need of Cosela as well as Pharmacosmos’ existing FDA-approved drug, Monoferric (ferric derisomaltose),” said Tobias Christensen, Chief Executive Officer of Pharmacosmos A/S. While Monoferric is available around the world, Cosela is only approved in the U.S. and China.

G1 has been facing setbacks as its drug trilaciclib failed a late-stage trial in June for a rare, aggressive form of breast cancer. Last year, G1 also terminated a late-stage trial of trilaciclib or Cosela for the treatment of colorectal cancer.

G1’s current EV/Sales (TTM) ratio is 2.43, below the sector median of 3.74.

Deal Metrics:

For an in-depth look at the metrics and details of this M&A transaction, please visit:

Deal Metrics for the acquisition of G1 Therapeutics Inc. (GTHX) by Pharmacosmos A/S

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• A spread history chart of the merger from announcement through eventual completion or failure.
• Every event as the merger progresses through the expiration of the HSR period, various regulatory approvals, shareholder votes, etc.
• News and SEC filings.
• A history of deal updates.
• And a whole lot more.

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Editor’s Note: Baranjot Kaur contributed to this article