GlycArt
Background
- GlycArt was spun-off from the Swiss Federal Institute of Technology in September 2000
- In 2003 GlycArt was brought to Gilde’s attention through both its operational advisors and its network of VC’s
- Together with the operational advisors Gilde established a team of experts and successfully completed its due diligence
Gilde Role Pre-investment
- Acted as co-lead investor in the first financing round in 2003
- Changed corporate governance to prepare GlycArt for its next development phase
- Attracted co-investors to complement the investors syndicate
Gilde Role Post-investment
- Edwin de Graaf joined the board as non-executive director
- Recommended to shift business model from technology licensing to in-house product development
- Advised to strengthen management team in business development
- Advised in the negotiation of the agreement with Roche
- As part of a dual strategy introduced GlycArt to new inestors and to investments banks in preparation for M&A
- Participated in the M&A committee of the Board that was actively involved with the trade sale process.
Transaction
- Early 2005 GlycArt received an unsolicited acquisition offer from a pharma company
- The board decided to organize a limited auction and selected ABN AMRO as the advisor
- Roche acquired all the shares in GlycArt for a total upfront consideration of EUR 152 million (CHF 235 million)
- The investment returned 7x the invested capital in two years
Rationale of the Transaction
- Combines antibody identification and optimization of GlycArt with clinical development, manufacturing, regulatory and marketing and sales of Roche
- Represents attractive value inflection point for shareholders
