BEDFORD, Mass., Jan. 13, 2025 (GLOBE NEWSWIRE) -- Lantheus Holdings, Inc. (“Lantheus” or the “Company”) (NASDAQ: LNTH), the leading radiopharmaceutical-focused company committed to enabling clinicians to Find, Fight and Follow disease to deliver better patient outcomes, today announced a definitive agreement to acquire Life Molecular Imaging Ltd. (“Life Molecular”), in an all-cash transaction consisting of an upfront payment of $350 million and up to an additional $400 million in potential earn-out and milestone payments. Life Molecular, a subsidiary of Life Healthcare Group Holdings Ltd (“Life Healthcare”), is dedicated to advancing novel Positron Emission Tomography (PET) radiopharmaceutical diagnostics.

The acquisition is expected to immediately enhance Lantheus’ near and long-term growth profile and establish a commercial Alzheimer’s disease (AD) franchise with the addition of Neuraceq® (florbetaben F18 injection). Neuraceq is a globally approved1, F-18 radioactive diagnostic agent indicated for PET imaging of the brain to estimate β-amyloid neuritic plaque density in adult patients with cognitive impairment who are being evaluated for AD and other causes of cognitive decline. Neuraceq can be used to confirm eligibility for new AD therapies. Life Molecular also provides robust R&D capabilities, a strong commercial infrastructure, and an established international presence, which Lantheus plans to utilize to accelerate the development, advancement, and commercialization of the combined company’s pipeline. The transaction is expected to be accretive to Lantheus’ Adjusted Earnings Per Share within 12 months of close.

“This acquisition aligns with our strategy to drive long-term growth and value creation by investing in high-potential, complementary assets and R&D capabilities to strengthen our radiopharmaceutical leadership,” said Brian Markison, CEO of Lantheus. “This is a natural extension of our existing RM2 partnership, and we are ideally equipped to collectively grow Neuraceq and advance Life Molecular’s diverse radiopharmaceutical assets. We are excited to welcome their exceptionally talented team, whose expertise will further enhance our capabilities in the development and commercialization of innovative radiodiagnostic solutions. With our combined resources and financial strength, we are well-positioned to deliver a meaningful impact for patients and clinicians worldwide.”

“Life Healthcare is proud to have been the steward for Life Molecular and is pleased to have found a partner who recognizes the value of the business we have nurtured,” said Peter Wharton-Hood, Chief Executive of Life Healthcare. “We invested in LMI with the vision of developing solutions that can improve patient outcomes, and we are confident in Lantheus’ ability to accelerate its growth.”

Compelling Strategic and Financial Rationale

Establishes Commercial Franchise in AD: The acquisition of Life Molecular adds commercial AD radiodiagnostic capabilities and infrastructure, including a manufacturing network and go-to-market experience that will complement Lantheus’ existing capabilities and can be used to launch future AD assets.

Expands Growth Profile with Approved AD Radiodiagnostic: The acquisition of Neuraceq, a globally marketed radioactive agent that assists in diagnosing cognitive impairments, including AD and dementia, is expected to accelerate Lantheus’ revenue growth. With the combined company’s operational and commercial expertise, Lantheus expects to maximize access to Neuraceq for the approximately 55 million people around the world who are living with AD or mild cognitive impairment.

Enhances R&D and Clinical Development Capabilities: Life Molecular brings high-caliber research and pharmaceutical development capabilities that enhance and complement Lantheus’ resources, strengthening the Company’s potential to advance its diverse pipeline.

Complements Innovative Radiodiagnostic Pipeline: The acquisition complements Lantheus’ pipeline with the addition of highly complementary radiodiagnostic clinical-stage assets targeting diseases with significant unmet needs.

This transaction builds on Lantheus’ June 2024 acquisition of the global rights to LMI’s clinical-stage radiotherapeutic and radiodiagnostic pair, 177Lu-DOTA-RM2 and 68Ga-DOTA-RM2, which target gastrin-releasing peptide receptor (GRPR) for prostate, breast and other cancers. This theranostic pair strengthened Lantheus’ oncology pipeline and will potentially allow the Company to enter new disease areas.

Additional Transaction Details
Under the terms of the agreement between Lantheus Medical Imaging, Inc. (“Lantheus Medical”), Lantheus Radiopharmaceuticals UK Limited (the “Lantheus UK”), Life Medical Group Limited (the “Seller”), and Life Healthcare Group Holdings Limited (“Life Healthcare”), Lantheus UK will pay an upfront amount of $350 million, payable in cash at closing, and potential additional net sales earnout and milestone payments in an aggregate additional cash amount of up to $400 million. In addition, Lantheus UK may pay up to $30 million towards Seller’s retained future contingent liabilities under certain contractual arrangements. The transaction has been unanimously approved by the Boards of Directors of both companies and is expected to close in the second half of 2025, subject to customary closing conditions, including the approval of Life Healthcare Group Holdings’ shareholders and regulatory clearances or expiration of applicable waiting periods under antitrust laws and foreign investment laws, and the Financial Surveillance Department of the South African Reserve Bank having granted approval under Exchange Control Regulations.

Advisors
RMB, a division of FirstRand Bank Limited, acted as financial advisor to Life Healthcare in this transaction and A&O Shearman LLP and Cliffe Dekker Hofmeyr Inc. acted as legal advisors.

Morgan Stanley acted as financial advisor to Lantheus in this transaction, while Covington & Burling LLP, Ropes & Gray LLP and Bowmans acted as legal advisors and Ernst & Young LLP acted as financial and tax advisor.