Gilead plans to acquire Ouro Medicines for up to $2.175 billion

Glonghui, March 24th ｜ Kangnuoya announced that its NewCo joint venture Ouro Medicines has signed a merger and acquisition agreement with Gilead Sciences. Gilead will acquire Ouro Medicines through this merger, with the transaction amount including an upfront payment of 1.675 billion USD (subject to customary adjustments) and milestone payments of up to 500 million USD, bringing the total transaction value up to 2.175 billion USD. According to the merger agreement, as a shareholder of Ouro Medicines, Kangnuoya will receive an upfront payment of approximately 250 million USD upon transaction completion, as well as milestone payments of up to around 70 million USD, for a total potential income of roughly 320 million USD. Meanwhile, Gilead will fulfill tiered royalty payments for CM336/OM336. After the transaction is completed, Kangnuoya will no longer hold any equity in Ouro Medicines.