AVEO Oncology has agreed to an acquisition by Korean firm LG Chem for $566M in an all-cash deal. The offering price of $15.00/share represents a 43% premium over AVEO's closing price on Monday, October 17, 2022. Upon completion of the transaction, AVEO will establish and operate as the U.S. commercial foundation for LG Chem Life Sciences’ oncology segment.
AVEO Oncology, which went public twelve years ago, has been trading on the NASDAQ exchange (NASDAQ: AVEO), and currently markets Fotivda (tivozanib) in the US, a treatment for relapsed or refractory advanced renal cell carcinoma (RCC) in adult patients. They will continue to develop Fotivda in immuno-oncology and other novel targeted combinations in RCC and other indications. Fotivda was approved by the FDA in March 2021.
LG Chem is a global chemical company with a diversified business portfolio in the key areas of petrochemicals, advanced materials, and life sciences. Its life sciences arm, LG Chem Life Sciences, is engaged in development, manufacturing and global commercialization of pharmaceutical products in the key areas of immunology, oncology, and metabolic diseases.