Amgen has struck a deal to buy Abgenix for $2.2 billion in cash. The California-based Abgenix was able to fetch the price by providing Amgen with two experimental therapies that could turn into blockbusters. Its lead candidate is the colon cancer treatment panitumumab, which has demonstrated an ability to control tumor growth. Abgenix develops therapies by genetically engineering mice to produce antibodies. An Amgen spokesperson says the deal gives Amgen its first therapy for tumors.
"This investment reflects Amgen's commitment to our pipeline and our growing confidence in the future success of both panitumumab and denosumab," said Kevin Sharer, president and CEO of Amgen.
- read this report in the San Jose Mercury News for more information