Rhythm Pharma acquires rare disease company Xinvento
Maksim Labkouski
- Rhythm Pharmaceuticals (NASDAQ:RYTM) announced Monday that its subsidiary, Rhythm Pharmaceuticals Netherlands B.V. acquired Xinvento B.V., a Dutch biotech focused on developing treatments for the rare genetic disease congenital hyperinsulinism (CHI).
- Per the terms, Rhythm B.V. will acquire 100% of Xinvento’s fully diluted equity for $5M upfront. That is in addition to milestone payments worth up to $6M for pre-clinical development and up to $60M for U.S. or EU regulatory approvals.
- Rhythm B.V. will also pay up to $150M as commercial net sales milestones linked to Xinvento’s lead candidate or a second molecule if the latter was selected, developed, and approved.
- Xinvento’s founder and Chief Executive, Claudine van der Sande, is expected to join Rhythm (RYTM) as Vice President, Head of the CHI program after the close of the transaction.
- In December, Seeking Alpha contributor Avisol Capital Partners reaffirmed its Hold rating on Rhythm (RYTM), citing the latter's potential as a long-term investment.