Proximagen soars on deal

City A.M. Reporter
US DRUGMAKER Upsher-Smith Laboratories is to buy British group Proximagen for £223m plus further payments potentially worth up to £134m based on the success of two experimental drugs.

Upsher-Smith already holds 16 per cent in Proximagen, which has drugs in development for Parkinson’s disease, epilepsy, cognition and neuropathic pain.

Shares in Proximagen closed up 21.4 per cent yesterday to 333.7p as investors cheered the deal, the latest in a wave of acquisitions in the sector as drug companies scour the biotech landscape for promising new medicines.