CSL to acquire Switzerland’s Vifor Pharma for $11.7bn

CSL has signed a definitive agreement for the acquisition of all publicly held stakes of Switzerland-based Vifor Pharma in a deal worth $11.7bn (A$16.4bn) in cash.

The company will launch a tender offer of $179.25 per share of Vifor Pharma.

The major shareholder holder of Vifor Pharma, Patinex AG, has agreed to tender its stakes in the company.

CSL intends to fund the takeover through a $4.5bn (A$6.3bn) fully underwritten placement, $6bn (A$8.4bn) in a new debt bridge facility and $2bn (A$2.8bn) cash on hand.

The acquisition of Vifor Pharma will aid CSL in diversifying its portfolio by adding ten commercialised products. They include Ferinject / Injectafer, Venofer, Veltassa and Korsuva.

On closing the deal, the merged firm will have an extended pipeline comprising 37 products at various stages of development, up from 37% of CSL’s existing standalone pipeline.

Nealy four products are scheduled to launch next year and in 2023.

Furthermore, the deal complements the current therapeutic focus regions of CSL that include haematology and thrombosis, cardiovascular-metabolic and transplant.

Vifor Pharma also offers new adjacencies in dialysis, nephrology and iron deficiency.

CSL noted that Vifor Pharma is well suited for innovation and collaboration in nephrology due to the latter’s synergistic joint venture with Fresenius Medical Care.

CSL’s worldwide scale, research and development (R&D) expertise and resources are likely to boost Vifor Pharma’s product supply to people globally.

CSL CEO and managing director Paul Perreault said: “Vifor Pharma enhances CSL’s patient focus and ability to protect the health of those facing a range of rare and serious medical conditions. It brings an outstanding team and a leading portfolio of products across Nephrology, Dialysis and Iron Deficiency therapies and a proven partnering and business development and licensing strategy.

“Vifor Pharma will also expand our presence in the rapidly growing nephrology market while giving us the opportunity to leverage our complementary scientific expertise.”

The boards of directors of CSL and Vifor approved the merger deal unanimously.

In February last year, Vifor entered a strategic alliance with Fresenius Kabi to set up a joint venture (JV) in the People’s Republic of China.