Celsion Corp. (Nasdaq; CLSN) is buying Egen Inc. for $14 million in cash and stock.
Egen, headquartered in Huntsville, Alabama, focuses on developing drugs to treat cancer and other diseases.
Lawrenceville, New Jersey-based Celsion develops and commercializes cancer drugs, including tumor-targeting treatments.
Through the deal, Celsion is picking up Egen’s immunotherapy product candidate Egen-001, plus the company’s technologies related to the medication. The purchase price consists of $10.4 million in Celsion common stock and $3.4 million in cash. The deal also includes the potential for $30.4 million in future milestone payments after licensing milestones are achieved.
Cantor Fitzgerald & Co. acted as Celsion’s financial adviser, while Sam Zucker of Sidley Austin, and O’Melveny & Myers LLP provided legal advice for the deal.
Medical companies have been scooping up cancer therapies and related technology recently. In May, Cancer Genetics Inc. (Nasdaq: CGIX) agreed to buy BioServe Indiafor $1.9 million. Before that, in March, Varian Medical Systems Inc. (NYSE: VAR) agreed to buy software assets from Velocity Medical Solutions LLC.
For more on cancer drugs and M&A, see “New Cancer Drugs Spark Deal Possibilities.”