Danish biotech giant Genmab is acquiring Seattle-based ProfoundBio for $1.8 billion in cash.
The companies announced the deal Wednesday and expect it to close during the first half of this year. Genmab said ProfoundBio, which is developing multiple treatments aimed at cancer, will expand its pipeline.
"Together, we will be able to accelerate the development of innovative, differentiated antibody therapies for cancer patients,” Genmab CEO Jan van de Winkel said in a news release.
A Genmab spokesperson said the company has over 2,000 employees, and ProfoundBio has about 120. The spokesperson added that the company aims to "preserve the culture and retain talent in both Genmab and ProfoundBio," but didn't share additional details because the deal still needs regulatory approval. Both company's boards have approved the deal.
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ProfoundBio, founded in 2018, raised a $112 million Series B round in February. Erin Lavelle, the company's chief operating officer and chief financial officer, at the time said that of the company's 120 employees, about 95 were based in Suzhou, China, with most of the remaining 25 based in its Seattle headquarters.
"We're going to likely be expanding the bulk of our team in the U.S., West Coast U.S. as well," Lavelle said in February. "Seattle has a tremendous base of talent, so we are going to be absolutely prioritizing Seattle. It's a big part of our heritage for hiring."
The company's lead treatment candidate, Rina-S, is aimed at ovarian and endometrial cancer and is in phase 2 clinical trials. It has another candidate in phase 1 trails aimed at renal cell carcinoma, nasopharyngeal carcinoma and non-Hodgkin lymphoma. The company has a treatment aimed at solid tumors that is in phase 1 trials and another treatment that it expects to enter the clinic this year.
Genmab, meanwhile, is also focused on cancer treatments. The company says on its website its technology has led to eight approved therapies and roughly 20 products in development. Genmab generated $1.7 billion in revenue during the first nine months of 2023, up from $1.4 billion during the same period in 2022.
