BIND Therapeutics Inc (NASDAQ:BIND) is in the process of auctioning almost all of its assets to Pfizer Inc. (NYSE:PFE) for about $20 million. The auction to Pfizer is expected to be completed on July 25. Until then, BIND remains open to a bid challenging Pfizer’s offer, except that those making rival bids must do so before end July 22.
If no one else steps forward to offer BIND Therapeutics a better price for its assets than Pfizer’s offering, it will have to accept Pfizer’s cash and close the chapter. It is worth pointing out that in addition to taking hold of BIND Therapeutics’ assets, which include its nanoparticle drug technology, Pfizer will also assume some of BIND Therapeutics’ liabilities. It has not been clearly explained what those liabilities entail, but they are said to be contractual obligations.
A bankruptcy court will supervise the sale of BIND Therapeutics’ assets to Pfizer.
What happens to the other partners?
But as BIND Therapeutics seeks to transfer the ownership of its assets to Pfizer including its much famed Accurins drug platform, questions remain about what happens to its other partners after the deal is closed. BIND Therapeutics has ongoing drug development partnerships with companies such as Merck & Co., Inc. (NYSE:MRK), Roche Holding Ltd. (OTCMKTS:RHHBY) and AstraZeneca plc (NYSE:AZN). These partners are using BIND Therapeutics’ Accurins platform to develop cancer treatments. It is not clear at this juncture how a sale to Pfizer might impact the collaboration between BIND and these partners.
Can Pfizer bring out the best in BIND-014?
As for Pfizer, the purchase is going to add to its portfolio a cancer candidate called BIND-014 that BIND Therapeutics unsuccessfully tried to develop. Although BIND-014 produced a mixed bag of results in clinical trials forcing BIND Therapeutics to halt its studies, the company said that it believed more research could bring out the best in the candidate.
It is said that Pfizer has the capability to test BIND-014 in ways that its original developer couldn’t afford.
BIND Therapeutics received funding of about $100 million during its life.