Sun Pharma to Acquire Nasdaq-Listed Checkpoint Therapeutics for $355 Million

10 Mar 2025 , 10:46 AM

Sun Pharmaceuticals Industries Ltd said on Monday, March 10, that it will buy Checkpoint Therapeutics, Inc, a Nasdaq-listed firm focused on immunotherapy and targeted therapies for oncology. Under the terms of the deal, Sun Pharma will pay $4.1 in cash up front per share, valuing the transaction at $355 million in total.

A contingent value right (CVR) for Checkpoint shareholders of up to $0.7 per share, based on potential regulatory approval for cosibelimab in the European Union (EU) or important markets including but not limited to Germany, France, Italy, Spain and the UK, will be complementary to the upfront payment. The deal is expected to be completed in the second quarter of 2025, subject to customary closing conditions and regulatory approvals.

Sun Pharma will have a 100% stake in the Checkpoint’s outstanding shares post the acquisition which will enhance its oncology portfolio and complement its position in the global cancer treatment market.

The purchase price of $4.1 per share represents a 66% premium over Checkpoint’s last closing price, reflecting a significant valuation boost for the company’s shareholders. Checkpoint Therapeutics is mainly involved in the development of transformational therapies for solid tumor cancer patients.

Recently, the company received the USFDA approval for UNLOXCYT (cosibelimab-ipdl), which is intended for adults with metastatic cutaneous squamous cell carcinoma (cSCC) or locally advanced cSCC not amenable to curative surgery or radiation. With a global presence and extensive market reach, Sun Pharma is expected to make UNLOXCYT available to cSCC patients all over the world.

Dilip Shanghvi, the chairman and managing director of Sun Pharma, noted the strategic significance of this acquisition, underlining the company’s commitment to pioneering anti-PD-L1 treatments for skin cancer patients.

James Oliviero, President and CEO of Checkpoint said, “We are confident that Sun Pharma will maximize the value for stockholders of such an important opportunity in addition to increasing UNLOXCYT’s availability to markets in the US, Europe, and beyond.”

Along with the acquisition itself, Checkpoint, Sun Pharma and Fortress Biotech, Checkpoint’s controlling stockholder, entered into a royalty agreement. Pursuant to the agreement, Fortress Biotech will be entitled to receive royalties tied to future sales of cosibelimab, following the replacement of its initial royalty rights at the time of Checkpoint’s founding. Acquisition will fortify Sun Pharma’s strategic growth in the oncology and Immunotherapy space with long-term growth objectives.