India's largest pharmaceutical company has agreed to acquire Checkpoint Therapeutics (CKPT.US) for $355 million.

India's largest pharmaceutical company, Sun Pharmaceutical Industries, has agreed to acquire the US immunotherapy and oncology company Checkpoint Therapeutics (CKPT.US) for a prepayment of $355 million to strengthen its specialty treatment portfolio. According to a filing submitted to the stock exchange on Monday, Sun Pharmaceutical Industries will acquire the company's issued shares at an initial price of $4.10 per share. The filing also stated that, subject to certain conditions, the company will also exercise a non-transferable or valuable right, which may receive a maximum cash amount of $0.70 per share. This is Sun Pharmaceutical Industries' second acquisition in less than three months as the company is trying to diversify beyond generic drugs quickly and establish a range of new therapies. As of March 31, 2024, the world's largest pharmaceutical market, the United States, contributed about one-third of Sun Pharmaceutical Industries' revenue. Checkpoint's therapy UNLOXCYT has been approved by the US Food and Drug Administration (FDA) for the treatment of adult metastatic cutaneous squamous cell carcinoma (cSCC), which is the second most common type of skin cancer in the United States. The company stated that there are approximately 1.8 million cSCC cases in the US annually, with around 40,000 cases becoming severe. It is estimated that about 15,000 people die from this disease in the US each year. Sun Pharmaceutical Industries Chairman, Dilip Shanghvi, stated in a declaration, "cSCC patients may soon have an important new treatment option. This acquisition further strengthens our innovative portfolio in oncology dermatology treatment." Sun Pharmaceutical Industries stated that the prepayment of $4.10 per share is 66% higher than Checkpoint's closing price last Friday. The transaction is expected to be completed by June 2025.