Medicines Co. completes purchase of ProFibrix
Medicines Co. closes purchase of ProFibrix after successful study of surgical bleeding drug
PASIPPANY, N.J. (AP) -- Medicines Co. said Monday that it has completed its purchase of ProFibrix BV after a bleeding-control drug that ProFibrix is developing met its goals in a late-stage clinical trial.
The stock jumped $2.02, or over 6 percent, to $33.49 in aftermarket trading. Shares of Medicines Co. rose 10 cents to $31.47 on Monday before the positive trial results were reported.
Medicines Co. agreed to buy ProFibrix in June in a deal that was contingent on a successful trial of Fibrocaps. Fibrocaps mixes two blood clotting proteins called fibrinogen and thrombin to form a dry topical powder that is designed to help control bleeding during surgery. Medicines Co. said sales of the product could reach about $300 million a year if it is approved in most major markets.
ProFibrix also has developed a dry powder spray to help surgeons apply Fibrocaps.
Medicines Co. made a $10 million upfront payment in June and paid $90 million at closing. It could pay another $140 million based on regulatory development and sales milestones. The company said it expects to report $9 million to $12 million in one-time costs related to the deal during the third quarter.
Medicines Co.'s main product is the anti-clotting drug Angiomax. In the first half of 2013 sales of Angiomax rose 13 percent to $294.1 million.
