Novartis has reached a definitive agreement with Cadent Therapeutics where Novartis will acquire all outstanding capital stock of Cadent Therapeutics. At the close of the agreement Cadent will receive USD 210 Million upfront payment and may be eligible for up to USD 560 Million in milestone payments for a possible total consideration of USD 770 Million.
Cadent Therapeutics creates therapies for the treatment of mood, movement and cognitive disorders.
Novartis will have full rights of Cadent’s neuroscience portfolio which include its NMDAr program that houses two clinical programs. “Since the company’s launch, the Cadent team has been focused on building a portfolio of next-generation small molecule treatments for cognitive, mood, and movement disorders,” said Jodie Morrison, Chief Executive Officer of Cadent Therapeutics. “The expertise of Novartis in development of CNS therapeutics – something we have witnessed first-hand in our existing collaboration – provides an ideal foundation for continued advancement of the Cadent pipeline and will ensure the broad potential of these drugs is realized for patients.”
Cadent Therapeutics board of directors and stockholders have approved the transaction. The companies anticipate the transaction to close during the first quarter of 2021.