Inspiration Biopharmaceuticals and Ipsen agree to sell OBI-1 (recombinant porcine factor VIII) to Baxter International for upfront and milestone payments totaling $185 million plus payments on global net sales

CAMBRIDGE, Mass.--(BUSINESS WIRE)--Inspiration Biopharmaceuticals (Inspiration) and Ipsen (Euronext: IPN; ADR: IPSEY) today announced the sale of its lead hemophilia program, OBI-1 (recombinant porcine factor VIII), to Baxter International (Baxter), the global leader in hemophilia. Baxter will acquire worldwide rights to OBI-1, a recombinant porcine factor VIII in development for congenital hemophilia A with inhibitors and acquired hemophilia A. OBI-1 is currently in a pivotal trial for the treatment of individuals with acquired hemophilia A.

“Inspiration was founded by families who are personally affected by hemophilia, so bringing innovative therapies to patients has always been at the core of our mission”

Inspiration and Ipsen have signed an asset purchase agreement pursuant to which Baxter would acquire the worldwide rights to OBI-1, as well as Ipsen’s manufacturing facility for OBI-1 in Milford, Massachusetts. The total aggregate consideration for these rights may exceed $700 million, including the upfront payment of $50 million, development and sales milestones totaling $135 million and annual net sales payments equivalent to a tiered double digit percentage of global net sales.

“Inspiration was founded by families who are personally affected by hemophilia, so bringing innovative therapies to patients has always been at the core of our mission” commented John P. Butler, Chief Executive Officer of Inspiration. “Baxter has a long commitment to hemophilia and we are excited that they will be using their expertise to bring this innovative therapy to people who currently have limited treatment options.”

The asset purchase agreement was filed yesterday, January 23, 2013, with the United States Bankruptcy Court in Boston. The sale is a result of a joint sale process pursued by Inspiration and Ipsen shortly after Inspiration filed for protection under Chapter 11 of the U.S. Bankruptcy Code on October 30, 2012. Ipsen has been providing Inspiration with Debtor-in-Possession (DIP) financing to fund Inspiration’s operations and the sale process.

The sale is subject to certain closing conditions, including Bankruptcy Court and regulatory approvals. Inspiration and Ipsen are in the final bidding stages of the sale process for IB1001, a recombinant factor IX that is currently under regulatory review in the US and Europe. Evercore Partners served as exclusive financial advisor to Inspiration and Ipsen on the transaction. Ropes & Gray served as legal advisor to Inspiration on the transaction. Murphy & King is Inspiration’s bankruptcy counsel and FTI Consulting, Inc. is Chief Restructuring Officer for Inspiration.

About Inspiration Biopharmaceuticals

As the only biopharmaceutical company dedicated solely to hemophilia, Inspiration is committed to improving the care of people with this condition by broadening treatment choices, expanding global access to care and advancing innovative therapies. Founded by two families whose sons have hemophilia, Inspiration is inspired to make a difference in the lives of people impacted by hemophilia around the world. Inspiration's lead product candidates are IB1001, an investigational intravenous recombinant factor IX being developed for the treatment of hemophilia B, and OBI-1, an investigational recombinant porcine factor VIII being developed for the treatment of serious bleeds in patients with congenital hemophilia A with inhibitors or acquired hemophilia A.

For more information about Inspiration Biopharmaceuticals, please visit www.inspirationbio.com.