New York-listed healthcare company Bristol-Myers Squibb (BMS) has signed an exclusive option to acquire Sweden-based Galecto Biotech for up to $444m from its investors, which include pharmaceutical company Merck Serono.
As part of the option, BMS gains global rights to its lead asset, TD139, which could treat lung problems called idiopathic pulmonary fibrosis.
Galecto Biotech had raised more than SEK 40m ($4m) from MS Ventures, which is owned by Merck Serono, Novo Seeds, the seed-stage corporate venturing unit of pharmaceutical firm Novo, Danish state-backed venture firm Seed Capital and Sunstone Capital, a subsidiary of the Danish state-owned Vaekstfonden.
Technology commercialisation adviser Forskarpatent i Syd, which had supported the founders concerning intellectual property rights in their spin-out from university, became a major shareholder in the company at its launch in January 2012.
– A version of this article originally appeared in Global Government Venturing. Image courtesy of Galecto Biotech AB.