$GLPG - Galapagos, having backtracked on split, weighs sale of cell therapy business - https://t.co/UJ1Uoux4aW via @BioPharmaDive
Galapagos mulls sale of cell therapy unit in latest strategic rethink $GLPG https://t.co/mN6xUND9ww
Galapagos, having backtracked on split, weighs sale of cell therapy business https://t.co/LkaOlYTkET $GLPG by Kristin Jensen
Galapagos NV said this week it is evaluating strategic options, including a sale, for its cell therapy business, reversing course on a January plan to make the unit the core of a two-way split. The Belgian biotech has already carved the operations into a standalone entity, Galapagos Cell Therapeutics, and secured full global rights by amending a long-running collaboration with 25% shareholder Gilead Sciences, which has waived future opt-in rights and royalties on the programs. The rethink is being driven by a refreshed leadership team. Chief Executive Officer Henry Gosebruch, appointed earlier this year, has hired Sooin Kwon as chief business officer and Dan Grossman as chief strategy officer, both starting 4 August, while Aaron Cox recently became chief financial officer. Management says the moves are part of a “new chapter” aimed at sharpening deal-making and reducing losses. Galapagos ended June with €3.1 billion ($3.6 billion) in cash and investments, but its second-quarter loss widened to €215.7 million from €71.3 million a year earlier amid ongoing restructuring costs. Investors reacted skeptically: American depositary receipts fell roughly 10% to below $30 after the update. The company intends to give further details on the possible divestiture and broader strategy once reviews are complete.
