VC-backed Heptares sold to Sosei for up to $400m
MVM Life Sciences, Clarus Ventures and Takeda Ventures have fully divested UK biotech Heptares to Japanese trade buyer Sosei Group in a deal worth up to $400m.
Sosei Group has acquired Heptares for an initial cash consideration of $180m, with a further $220m subject to the business’s future performance.
The company will continue to operate from its research and development centres in the UK following completion of the deal.
Since gaining VC backing, Heptares has developed new technologies targeting G protein-coupled receptors (GPCRs), which are linked to numerous diseases. It has also formed strategic partnerships with pharmaceutical companies including AstraZeneca and Novartis.
The acquisition by Sosei forms part the Japanese company’s strategy to increase its global footprint and diversify into new markets. It will also bolster its regulatory expertise across the EU and the US.
Previous funding
MVM Life Sciences first invested an undisclosed sum in Heptares in August 2007. Following this, in February 2008 the VC injected an additional $2.95m of equity into the company.
Clarus Ventures joined Heptares's investor pool in February 2009 alongside Novartis Venture Fund and returning investor MVM. Collectively, the GPs invested $30m in the company, with each firm contributing an equal amount of around $10m. In April 2011, Heptares raised a further $4.5m from Takeda Ventures.
Most recently, in June 2013 Clarus and Takeda took part in a $21m round for the business alongside the Stanley Family Foundation.
Company
Founded in 2007 and headquartered in Welwyn Garden City, Heptares is a biotechnology company. The business uses structure-based drug design, which is intended to selectively target GPCRs and result in fewer side effects than conventional drugs.
People
Dr Malcolm Weir is co-founder and CEO of Heptares. Shinichi Tamura is chairman and CEO of Sosei.
Advisers
Acquirer – Moelis & Company (Corporate finance); Clifford Chance (Legal).
Company – Goldman Sachs (Corporate finance); Covington & Burling (Legal).
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