[Alpha Biz=(Chicago) Reporter Kim Jisun] LG Chem will complete mergers and acquisitions (M&A) of AVEO Pharmaceuticals, a company with new anticancer drugs approved by the U.S. Food and Drug Administration (FDA), and become the world's 30th-largest pharmaceutical company through investments in the bio sector.
LG Chem announced on the 19th that it has invested 707.2 billion won (about $ 571 million) in the 'LG Chem Global Innovation Center', a life science subsidiary in Boston, Massachusetts, to acquire Abeo and will complete the final M&A on the 20th. LG Chem unveiled its plan to acquire Abeo in October last year.
AVEO will be incorporated as a subsidiary of LG Chem and will operate as an independent management system as before. Abeo is a new anticancer drug development company established in Boston in 2002, and in 2021, the kidney cancer target treatment "FOTIVDA" was approved by the FDA. Last year, it recorded more than 130 billion won in sales.
LG Chem announced that it plans to accelerate commercialization in the U.S. by transferring the pipeline of new anticancer drugs developed by the Life Sciences Business Headquarters to AVEO in the mid- to long-term. It also plans to strengthen its pipeline by introducing new anticancer drugs that are about to be commercialized after entering phase 2 or 3 clinical trials.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
