Roivant family moves as Japanese pharma firm buys stake in co

Sio Gene Therapies

06/09/2019 18:47

(Updates)
    ** Myovant Sciences Ltd  MYOV.N  falls 5.8%, Urovant
Sciences  UROV.O  up 8.5%, Axovant Gene Therapies Ltd's  AXGT.O 
up slightly as a Japanese pharma firm buys a stake in their
biggest shareholder Roivant Sciences 
    ** Sumitomo Dainippon Pharma Co  4506.T  to pay $3 bln for
10% stake in Swiss drugmaker Roivant Sciences and interests in
five of its biopharma businesses  urn:newsml:reuters.com:*:nL3N25X1GP
    ** Besides Myovant and Urovant, Roivant's other companies
Enzyvant and Altavant are included in deal; one more to be named
    ** Given current market cap of ~$160 mln, AXGT was unlikely
to obtain fair value for gene therapy programs, so it is
unsurprising it is not included, SVB Leerink says  urn:newsml:reuters.com:*:nL3N25X3BJ
    ** "Investors appear concerned that Sumitomo's 46% ownership
stake will preclude MYOV's acquisition by any other global
biopharma company," Cowen analyst Phil Nadeau says     
    ** The deal, which comes as Sumitomo's schizophrenia drug is
due to lose U.S. market exclusivity in 2023, will also give it
the option to acquire interests in an additional six businesses,
and access to Roivant's technology platforms
    ** Up to Thursday's close, AXGT stock had fallen 11.5% YTD
and MYOV 51%, while UROV had risen 42.6% in the same period

 (Reporting by Tamara Mathias in Bengaluru)
 ((Tamara.Mathias@thomsonreuters.com; within U.S. +1 646 223
8780, outside U.S. +91 806749 1208;))