Spectrum To Acquire Allos Therapeutics

Spectrum Pharmaceuticals has signed a definitive agreement to acquire all outstanding shares of Allos Therapeutics for $206 million upfront, plus a Contingent Value Right (CVR) entitling Allos to an additional payment if certain European regulatory and commercialization milestones for Folotyn are met. Folotyn (pralatrexate injection) is a folate analogue metabolic inhibitor for the treatment of patients with relapsed or refractory peripheral T-cell lymphoma (PTCL). The drug generated more than $50 million in U.S. sales in 2011.

“For Spectrum, this acquisition adds another diversified source of revenue, accelerates the development of our hematology franchise, and affirms our commitment to becoming a leader in the treatment of lymphoma,” said Rajesh C. Shrotriya, M.D., chairman, chief executive officer and president of Spectrum Pharmaceuticals. “We are well positioned to immediately leverage the combined strengths of the two companies, while expanding the number of cancer patients that can benefit from our products.”

“This transaction represents an excellent strategic and cultural fit that leverages two strong brands in the hematology/oncology market today with potential for future growth,” said Paul L. Berns, president and chief executive officer of Allos Therapeutics. “Spectrum shares our commitment to patients and their healthcare providers, and we believe Folotyn will be a welcomed addition to its commercial product offering and diversified portfolio of development-stage drugs.”