Purchase of Biopharmaceutical Company Will Boost Development of Nitroxyl-Based Cardiovascular Disease Drugs

A major international biopharmaceutical company has announced the acquisition of a private biotech company that specializes in the development of drugs for treatment of cardiovascular disease.

Bristol-Myers Squibb Co. (New York, NY, USA) has initiated the process to buy Cardioxyl Pharmaceuticals Inc. (Chapel Hill, NC, USA).

Bristol-Myers Squibb is a global biopharmaceutical company dedicated to the discovery, development, and delivery of innovative medicines to patients with serious diseases. The company's operational strategy combines the reach and resources of a major pharmaceutical company with the entrepreneurial spirit and agility of a successful biotech company. This allows it to focus on customers’ needs, giving maximum priority to accelerating pipeline development, delivering sales growth, and continuing to manage costs.

Cardioxyl Pharmaceuticals is a privately held, clinical stage biopharmaceutical company developing therapies for the treatment of cardiovascular disease, focusing on the discovery, development, and commercialization of novel technologies for disease areas where current therapies do not exist, are ineffective, or are inadequate.

Cardioxyl has developed industry-leading expertise in the chemistry, biology, and clinical applications of nitroxyl technology. The company's core nitroxyl platform has generated several preclinical and clinical candidates, the most advanced of which has completed a Phase IIa clinical trial in acute decompensated heart failure, the most common cause of hospitalization for patients older than 65 years of age. Cardioxyl’s second generation HNO donor, CXL-1427, is currently in Phase II clinical testing.

According to the purchase agreement, Bristol-Myers initially will pay Cardioxyl up to 300 million USD in upfront and short-term payments for meeting development milestones. Bristol-Myers will pay up to 1.78 billion USD more if Cardioxyl medicines achieve certain milestones for testing, regulatory approval, and then sales.

Dr. Francis Cuss, CSO of Bristol-Myers, said "Cardioxyl's drug has the potential to change the course of the disease rather than simply treating the symptoms."

The boards of both companies have approved the agreement, which still must pass regulatory review and meet other conditions before it is executed.

Related Links:
Bristol-Myers Squibb Co.
Cardioxyl Pharmaceuticals Inc.