UPDATE: Neopharma sold to Solvay for $96M

Solvay Pharmaceuticals of Belgium has made a cash offer for the Swedish company NeoPharma. The bid values NeoPharma at approximately 640 million Swedish kronor ($95.7 million). Kompanjonfond, the fund managed by 3i Nordic's venture capital team, has invested 34.8 million kronor in the company over five years and has a 21.6% (fully diluted) holding in NeoPharma and will realize a value of 140 million kronor.

This acquisition will allow Solvay to enter the area of treatment for Parkinson's disease through obtaining the rights to Neopharma's Duodopa (levodopa plus kardidopa), a late-stage developmental drug designed specifically to treat advanced PD. News of this deal sent Solvay's share price leaping 6.1% to 80.55 euros on the day of the announcement, December 20, 2004.

Duodopa has its origin in work carried out by researchers and clinicians at the Uppsala University and Uppsala University Hospital in Sweden. Financed by venture capitalists, including 3i, Neopharma has developed the invention to an approved pharmaceutical product. Duodopa has received marketing authorization in Sweden and successfully completed the mutual recognition procedure for Denmark, Norway, Finland, Germany, France, the Netherlands, Austria, Spain and Portugal. The company will record a profit for the fiscal year 2004.