FibroGen Announces the Sale of FibroGen China to AstraZeneca for Approximately $160 Million
FibroGen (NASDAQ: FGEN) has announced the sale of its China subsidiary to AstraZeneca for approximately $160 million, comprising an enterprise value of $85 million plus estimated net cash of $75 million held in China at closing. The transaction, expected to close by mid-2025, will extend FibroGen's cash runway into 2027.
Following the closure, FibroGen will repay its term loan to Morgan Stanley Tactical Value. AstraZeneca will obtain all rights to roxadustat in China, where it leads in brand value share for anemia treatment in chronic kidney disease. FibroGen retains roxadustat rights in the US and markets not licensed to Astellas.
The company will continue advancing its oncology pipeline, including the Phase 2 monotherapy trial of FG-3246 in metastatic castration-resistant prostate cancer (mCRPC) in Q2 2025. FibroGen reported preliminary unaudited cash, cash equivalents, and accounts receivable of $121.1 million as of December 31, 2024.
FibroGen (NASDAQ: FGEN) ha annunciato la vendita della sua filiale in Cina a AstraZeneca per circa 160 milioni di dollari, comprendente un valore aziendale di 85 milioni di dollari più un netto stimato di 75 milioni di dollari detenuti in Cina al momento della chiusura. La transazione, prevista per la chiusura entro metà 2025, estenderà la liquidità di FibroGen fino al 2027.
Dopo la chiusura, FibroGen rimborserà il suo prestito a termine a Morgan Stanley Tactical Value. AstraZeneca otterrà tutti i diritti su roxadustat in Cina, dove è leader nella quota di valore del marchio per il trattamento dell'anemia nella malattia renale cronica. FibroGen mantiene i diritti su roxadustat negli Stati Uniti e nei mercati non concessi in licenza ad Astellas.
L'azienda continuerà a far progredire il suo pipeline oncologico, incluso lo studio clinico di fase 2 della monoterapia FG-3246 nel cancro prostatico resistente alla castrazione metastatico (mCRPC) nel secondo trimestre del 2025. FibroGen ha riportato un saldo preliminare non auditato di liquidità, equivalenti di liquidità e crediti di 121,1 milioni di dollari al 31 dicembre 2024.
FibroGen (NASDAQ: FGEN) ha anunciado la venta de su filial en China a AstraZeneca por aproximadamente 160 millones de dólares, que incluye un valor empresarial de 85 millones de dólares más un efectivo neto estimado de 75 millones de dólares que se mantiene en China al cierre. La transacción, que se espera cerrar a mediados de 2025, extenderá la liquidez de FibroGen hasta 2027.
Tras el cierre, FibroGen reembolsará su préstamo a plazo a Morgan Stanley Tactical Value. AstraZeneca obtendrá todos los derechos sobre roxadustat en China, donde lidera en participación de valor de marca para el tratamiento de la anemia en la enfermedad renal crónica. FibroGen retiene los derechos sobre roxadustat en EE. UU. y en mercados no licenciados a Astellas.
La compañía continuará avanzando en su pipeline oncológico, incluido el ensayo de monoterapia de fase 2 de FG-3246 en cáncer de próstata resistente a la castración metastático (mCRPC) en el segundo trimestre de 2025. FibroGen reportó un saldo preliminar no auditado de efectivo, equivalentes de efectivo y cuentas por cobrar de 121,1 millones de dólares al 31 de diciembre de 2024.
FibroGen (NASDAQ: FGEN)은 AstraZeneca에 자사의 중국 자회사를 약 1억 6천만 달러에 매각한다고 발표했습니다. 여기에는 8천5백만 달러의 기업 가치와 마감 시점에 중국에 보유된 7천5백만 달러의 순 현금이 포함됩니다. 2025년 중반까지 마감될 것으로 예상되는 이번 거래는 FibroGen의 현금 유동성을 2027년까지 연장하게 됩니다.
마감 후, FibroGen은 Morgan Stanley Tactical Value에 대한 기한부 대출을 상환할 것입니다. AstraZeneca는 만성 신장 질환에서 빈혈 치료를 위한 브랜드 가치 점유율에서 선두를 지키고 있는 중국에서 roxadustat에 대한 모든 권리를 확보하게 됩니다. FibroGen은 미국 및 Astellas에 라이센스가 부여되지 않은 시장에서 roxadustat 권리를 유지합니다.
회사는 2025년 2분기에 진행되는 전이성 거세 저항성 전립선암(mCRPC)에 대한 FG-3246의 2상 단독 요법 시험을 포함하여 종양학 파이프라인을 계속 발전시켜 나갈 것입니다. FibroGen은 2024년 12월 31일 기준으로 현금, 현금성 자산 및 매출채권의 비감사 예비 잔액이 1억 2천1백10만 달러라고 보고했습니다.
FibroGen (NASDAQ: FGEN) a annoncé la vente de sa filiale en Chine à AstraZeneca pour environ 160 millions de dollars, comprenant une valeur d'entreprise de 85 millions de dollars plus un montant net estimé de 75 millions de dollars détenus en Chine lors de la clôture. La transaction, qui devrait être finalisée d'ici la mi-2025, prolongera la liquidité de FibroGen jusqu'en 2027.
Après la clôture, FibroGen remboursera son prêt à terme à Morgan Stanley Tactical Value. AstraZeneca obtiendra tous les droits sur roxadustat en Chine, où elle est leader en part de valeur de marque pour le traitement de l'anémie dans la maladie rénale chronique. FibroGen conserve les droits sur roxadustat aux États-Unis et sur les marchés non concédés à Astellas.
L'entreprise continuera d'avancer dans son pipeline oncologique, y compris l'essai de monothérapie de phase 2 de FG-3246 dans le cancer de la prostate résistant à la castration métastatique (mCRPC) au deuxième trimestre de 2025. FibroGen a rapporté un solde préliminaire non audité de liquidités, d'équivalents de liquidités et de créances de 121,1 millions de dollars au 31 décembre 2024.
FibroGen (NASDAQ: FGEN) hat den Verkauf seiner Tochtergesellschaft in China an AstraZeneca für etwa 160 Millionen Dollar angekündigt, was einen Unternehmenswert von 85 Millionen Dollar plus geschätzte 75 Millionen Dollar an Netto-Cash beinhaltet, die zum Zeitpunkt des Abschlusses in China gehalten werden. Die Transaktion, die voraussichtlich bis Mitte 2025 abgeschlossen sein wird, wird die Liquidität von FibroGen bis 2027 verlängern.
Nach dem Abschluss wird FibroGen sein Terminkredit an Morgan Stanley Tactical Value zurückzahlen. AstraZeneca wird alle Rechte an roxadustat in China erhalten, wo es in Bezug auf den Markenwertanteil für die Behandlung von Anämie bei chronischer Nierenerkrankung führend ist. FibroGen behält die Rechte an roxadustat in den USA und in Märkten, die nicht an Astellas lizenziert sind.
Das Unternehmen wird weiterhin seine Onkologie-Pipeline vorantreiben, einschließlich der Phase-2-Monotherapie-Studie von FG-3246 bei metastasierendem kastrationsresistentem Prostatakrebs (mCRPC) im zweiten Quartal 2025. FibroGen berichtete zum 31. Dezember 2024 einen vorläufigen ungeprüften Kassenbestand, Zahlungsmitteläquivalente und Forderungen in Höhe von 121,1 Millionen Dollar.
- Sale of China subsidiary for $160 million strengthens financial position
- Cash runway extended into 2027
- Preliminary cash position of $121.1 million as of December 2024
- Simplification of capital structure through term loan repayment
- Loss of revenue stream from Chinese operations
- Relinquishing rights to roxadustat in China market
Insights
The $160 million sale of FibroGen China to AstraZeneca represents a important strategic pivot for a company with a market cap of just
The deal's structure is noteworthy: $85 million in enterprise value plus approximately $75 million in net cash held in China. This cash-heavy component provides immediate liquidity and strengthens FibroGen's balance sheet. The extension of cash runway into 2027 is particularly valuable for a small-cap biotech company, as it provides important operational flexibility and reduced financing pressure during clinical development phases.
The transaction offers three key financial benefits:
- Immediate cash infusion significantly above current market value
- Debt reduction through Morgan Stanley loan repayment, improving the capital structure
- Extended cash runway providing approximately 2 years of additional operational capability
However, this deal also represents a significant strategic shift. While divesting the China operations provides immediate financial benefits, it means surrendering the rights to roxadustat in China, where it's the category leader in anemia treatment for chronic kidney disease. The pending regulatory decision for chemotherapy-induced anemia in China will now benefit AstraZeneca instead of FibroGen.
The company's focus shift to oncology pipeline development, particularly FG-3246, represents a calculated risk. The extended cash runway provides adequate time to advance clinical trials, but success will depend entirely on clinical outcomes, as the company no longer has the safety net of Chinese market revenues.
- Purchase price represents enterprise value of
$85 million plus FibroGen net cash held in China at closing, currently estimated to be approximately$75 million - Upon close, FibroGen will repay its term loan to Morgan Stanley Tactical Value, further simplifying the Company’s capital structure
- Company’s cash runway extended into 2027
- Company to continue to advance its oncology pipeline, with the initiation of the Phase 2 monotherapy trial of FG-3246 in metastatic castration-resistant prostate cancer (mCRPC) in 2Q 2025
- Preliminary unaudited cash, cash equivalents, and accounts receivable of
$121.1 million as of December 31, 2024 - FibroGen to host conference call and webcast presentation today at 8:30 AM ET
SAN FRANCISCO, Feb. 20, 2025 (GLOBE NEWSWIRE) -- FibroGen, Inc. (NASDAQ: FGEN) today announced the sale of its China subsidiary to AstraZeneca for approximately
“Today, we announced the sale of FibroGen China to AstraZeneca, our long-time strategic partner for roxadustat in China, bolstering our company on several fronts. It strengthens our financial position, meaningfully extending our cash runway into 2027, and enables us to continue progressing the clinical development program for FG-3246, our first-in-class, CD46 targeting antibody drug conjugate, and FG-3180, our companion PET imaging agent, in mCRPC,” said Thane Wettig, Chief Executive Officer of FibroGen. “After a thorough evaluation of alternatives, we believe selling our China operations and repaying our term loan is in the best interest of FibroGen’s stakeholders. We are grateful for our China colleagues, and in particular Christine Chung, our Head of China Operations, for their unwavering commitment to patients and successful commercialization of roxadustat in China. Now, we turn the page to the next exciting chapter for FibroGen.”
Under the terms of the agreement, FibroGen will receive an enterprise value of
Upon closing, AstraZeneca will obtain all rights to roxadustat in China. Roxadustat is the category leader in brand value share for the treatment of anemia in chronic kidney disease with a pending regulatory decision for chemotherapy-induced anemia.
FibroGen maintains its rights to roxadustat in the U.S. and in all markets not licensed to Astellas. The Company continues to evaluate a development plan for roxadustat in anemia associated with lower-risk myelodysplastic syndrome (LR-MDS), a high-value indication with significant unmet medical need. The Company is planning for an FDA meeting in the second quarter of 2025 to determine the potential next steps for the development program for roxadustat in the U.S.
In addition, FibroGen continues to advance the clinical development of its lead asset, FG-3246, and its companion PET imaging agent, FG-3180, with the initiation of the Phase 2 monotherapy trial of FG-3246 in patients with mCRPC expected in the second quarter of 2025.
BofA Securities, Inc. is acting as exclusive financial advisor and Ropes & Gray LLP is acting as legal advisor to FibroGen on this transaction.
Conference Call and Webcast Presentation
FibroGen management team will host a conference call and webcast presentation today, February 20, 2025 at 8:30 a.m. ET to discuss the sale of FibroGen China. A live Q&A session will follow the brief presentation. Interested parties may access a live audio webcast of the conference call here. To access the call by phone, please register here, and you will be provided with dial in details. A replay of the webcast will also be available for a limited time on the Events & Presentations page on FibroGen’s website.
About FibroGen
FibroGen, Inc. is a biopharmaceutical company focused on development of novel therapies at the frontiers of cancer biology and anemia. Roxadustat (爱瑞卓®, EVRENZO™) is currently approved in China, Europe, Japan, and numerous other countries for the treatment of anemia in chronic kidney disease (CKD) patients on dialysis and not on dialysis. The Company continues to evaluate a development plan for roxadustat in anemia associated with lower-risk myelodysplastic syndrome (LR-MDS) in the U.S. FG-3246 (also known as FOR46), a first-in-class antibody-drug conjugate (ADC) targeting CD46 is in development for the treatment of metastatic castration-resistant prostate cancer. This program also includes the development of FG-3180, an associated CD46-targeted PET biomarker. For more information, please visit www.fibrogen.com.
Forward-Looking Statements
This release contains forward-looking statements regarding FibroGen’s strategy, future plans and prospects, including statements regarding its commercial products and clinical programs and those of its collaboration partners Fortis and UCSF. These forward-looking statements include, but are not limited to, statements regarding the net cash portion of the purchase price and closing of the sale of FibroGen China as well as the payoff of the Morgan Stanley Tactical Value term loan, use of proceeds, and statements regarding the expectation that cash, cash equivalents and accounts receivable will be sufficient to fund FibroGen’s operating plans into 2027, and statements about FibroGen’s plans and objectives. These forward-looking statements are typically identified by use of terms such as “may,” “will”, “should,” “on track,” “could,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue” and similar words, although some forward-looking statements are expressed differently. FibroGen’s actual results may differ materially from those indicated in these forward-looking statements due to risks and uncertainties related to the continued progress and timing of its various programs, including the enrollment and results from ongoing and potential future clinical trials, and other matters that are described in FibroGen’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, and our Quarterly Report on Form 10-Q for the quarter ended September 30, 2024, each as filed with the Securities and Exchange Commission (SEC), including the risk factors set forth therein. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release, and FibroGen undertakes no obligation to update any forward-looking statement in this press release, except as required by law.
For Investor Inquiries:
David DeLucia, CFA
Senior Vice President and Chief Financial Officer
ir@fibrogen.com
FAQ
How much is AstraZeneca paying for FibroGen's China subsidiary (FGEN)?
When will the FibroGen China sale to AstraZeneca close?
What will happen to roxadustat rights in China after FGEN's sale to AstraZeneca?
How will the China subsidiary sale affect FGEN's cash runway?
What are FGEN's plans for FG-3246 development after the China sale?
