Amarin to acquire Ester Neurosciences

Amarin Corp of the UK has signed an agreement to acquire Ester Neurosciences, a private R&D company based in Israel. The transaction was expected to close December 6. The initial consideration is $15.0 million, plus up to $17.0 million in contingent payments.

Ester's core assets include: a platform messenger RNA silencing technology which targets the cholinergic pathway; EN101, a Phase II compound with promising efficacy data for the treatment of myasthenia gravis utilizing this mRNA technology; and a preclinical program in neurodegenerative and inflammatory diseases.

The London-based firm also received financing commitments for around $8.1 million in gross proceeds in connection with public offerings of equity, three-year convertible debt and warrants. Directors and officers of the firm committed $1.7 million. Additionally, it resolved to hold a general meeting in January 2008 at which the company's shareholders will be asked to approve a one-for-10 reverse stock split, which is part of Amarin's definitive plan to regain and sustain compliance with US Nasdaq listing requirements.