CARY, N.C. – Italy-based Chiesi Farmaceutici formally took control of Thursday.
Chiesi and Cornerstone (Nasdaq: CRTX) have closed on a deal that left Chiesi assumed control of most Cornerstone stock in a deal valued at some $70 million.
As part of the deal, Cornerstone received $15.5 million in cash and a 10-year license in the U.S. on a Chiesi drug that treats respiratory distress syndrome in premature infants. Cornerstone also has first rights of offer for new products and technology that Chiesi wants to sell in the U.S.
Cornerstone shares traded up 1 percent at $9.20 Thursday afternoon. Shares traded around $6 a share when the Cornerstone-Chiesi deal was announced in May. In late June, shares traded above $11.
Cornerstone is focused on development and sale of respiratory treatments, receives $15.5 million in cash and various drugs rights in return for the shares.
The deal gives Chiesi 13.8 million shares, or 51 percent, of Cornerstone’s total shares.
As part of the deal, Cornerstone Chief Executive Officer Craig Collard and Executive Vice President Steven Luntz sold 1.6 million shares at $5.50 each. Cornerstone also issued 12.2 million shares that were sold to Chiesi.
