AstraZeneca (LON:AZN) announced it had reached an agreement to acquire CinCor Pharma (Nasdaq:CINC). After announcing the proposed deal, CinCor’s share price jumped 144% to $28.74.
AstraZeneca has agreed to a tender offer to acquire outstanding shares of CinCor for $26 per share, or $1.3 billion.
CinCor specializes in developing therapies for hypertension and chronic kidney disease.
In an interview with Drug Discovery & Development in December, CinCor Chief Operating Officer Catherine Pearce explained why it was confident that its drug candidate, baxdrostat, could address a large unmet medical need in treatment-resistant hypertension.
AstraZeneca said the acquisition would bolster its cardiorenal pipeline.
The company said it would offer CinCor an additional $10 per share after a specified regulatory filing related to baxdrostat.
AstraZeneca also agreed to acquire the cash and marketable securities on CinCor’s balance sheet for roughly $522 million as of September 30, 2022.
After announcing the proposed acquisition, AstraZeneca shares fell 0.41%.
An aldosterone synthase inhibitor (ASI), baxdrostat, could also potentially be used in combination with AstraZeneca’s diabetes drug dapagliflozin, which is known as Farxiga in the U.S.
In a statement, AstraZeneca’s Executive Vice President BioPharmaceuticals R&D Mene Pangalos noted that elevated aldosterone levels are “associated with hypertension and several cardiorenal diseases, including chronic kidney disease and coronary artery disease.” He added that effectively reducing aldosterone “would offer a much-needed treatment option for these patients.”
CinCor traces its roots to the Cincinnati-based incubator CinRx, founded in 2015. CinCor was spun out in 2018.
Baxdrostat was initially developed by Roche (OTCMKTS: RHHBY).
In November, CinCor noted that the Phase 2 HALO focused on baxdrostat did not meet its primary endpoint related to the change from baseline in mean seated systolic blood pressure (SBP) in patients with hypertension.
The company announced in late 2022 that it planned to meet with FDA in January to discuss its Phase 3 program plans.