Shire to Acquire FerroKin BioSciences, Inc., and its Phase 2 Iron Chelator Treatment

Dublin (ots/PRNewswire) -

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Shire plc , the global specialty biopharmaceutical company,
announces that it has signed an agreement to acquire FerroKin
BioSciences, Inc., for an upfront payment of $100 million, payable in
cash at closing, plus potential post-closing milestone payments of up
to $225 million, depending upon the achievement of certain clinical
development, regulatory and net sales targets.

- A strategic step in building Shire's hematology business (which already
includes Xagrid and a growing development pipeline)
- Adds a differentiated product in development (iron chelator FBS0701), with
global rights, in a global market currently worth over $900 million and growing(1)
- Serves chronic patient need for treatment of iron overload following numerous
blood transfusions. Excess iron in vital organs such as the liver and heart increases
the risk of organ failure and is the principal cause of death in transfusion-dependent
patients(2)
- Consistent with Shire strategy of developing and commercializing
differentiated specialist products prescribed by specialist physicians (hematologists/
hematologist-oncologists) served by a small sales force
- FBS0701 will be developed to demonstrate clinical efficacy and an attractive
safety profile relative to currently approved chelating agents:

- Global filing planned for indications for Myelodysplastic Syndrome and
hemoglobinopathies initially
- Phase 2 studies underway with additional trials planned
- Potential launch as early as 2016

Shire's Specialty Pharmaceuticals Senior Vice President,
Hematology, Ross Murdoch says:

"There remains a significant unmet need for a once-a-day, oral
iron chelator in a convenient dosage form for the treatment of
transfusional iron overload with a better safety profile than
currently available treatments(2). We believe FBS0701 has the
potential to meet that need. We hope to use our expertise in
hematology coupled with our proven ability to progress products
through the development pipeline to bring FBS0701 to the global
marketplace. This acquisition marks an important step for Shire in
building a business that serves the growing needs of specialty
hematologists and their patients."

FerroKin BioSciences' key employees, including Founder and CEO,
Dr. Hugh Young Rienhoff, Jr. will provide consulting services to
Shire during the transition period. "An important factor for FerroKin
BioSciences in agreeing to this transaction was Shire's drive,
capability and vision to bring new products to the hematology market
that promise to raise the standard of care for patients. In Shire's
hands, FBS0701 has greater potential to fulfill that promise," said
Dr. Rienhoff.

The closing of the acquisition is subject to customary
conditions, including (i) adoption of the Merger Agreement by a
required proportion of FerroKin's equityholders; (ii) holders of no
more than 2% of FerroKin's capital stock having exercised or being
entitled to exercise appraisal rights under Delaware law and (iii)
the absence of a material adverse effect on FerroKin BioSciences.

About FBS0701

FBS0701 is a once-daily oral capsule in development for the
treatment of iron overload due to chronic blood transfusions in
adults and children. FBS0701 has received Orphan Product designation
from both the U.S. Food and Drug Administration and the European
Medicines Agency. FerroKin BioSciences has completed four Phase 1
clinical trials to evaluate the safety, tolerability,
pharmacokinetics and iron clearing activity of FBS0701 in healthy
volunteers and patients. Phase 2 dose-ranging studies in adults and
children are ongoing. Initial data from the adult study, presented at
the American Society of Hematology in December, supports the
potential for FBS0701 as an effective iron chelator with a favorable
safety profile.

About Iron Overload

Although iron is an element essential for life - the typical
adult human contains 1,000-4,000 mg of iron - the body has no means
to eliminate excess iron. Repeated transfusions can result in the
accumulation of iron in key organs, compromising their normal
function. Progressive iron overload can eventually lead to organ
failure, particularly the heart and liver.

The need for repeated transfusions arises in the setting of both
hereditary and acquired anemias. The most common forms of congenital
anemia are the hemoglobinopathies, a group of related anemias
including alpha and beta thalassemia and sickle cell disease
affecting hemoglobin production. Acquired anemias tend to occur later
in life and represent a diverse collection of conditions
characterized by impaired blood cell production collectively called
Myelodysplastic Syndrome (MDS).

Seaview Securities LLC acted as financial adviser to FerroKin
Biosciences, Inc.

(1) EvaluatePharma(R) consensus analyst estimates

(2) N Engl J Med 2011; 364:146-156 January 13, 2011
[http://www.nejm.org/toc/nejm/364/2 ]

Notes to editors

SHIRE PLC

Shire's strategic goal is to become the leading specialty
biopharmaceutical company that focuses on meeting the needs of the
specialist physician. Shire focuses its business on attention deficit
hyperactivity disorder, human genetic therapies, gastrointestinal
diseases and regenerative medicine as well as opportunities in other
therapeutic areas to the extent they arise through acquisitions.
Shire's in-licensing, merger and acquisition efforts are focused on
products in specialist markets with strong intellectual property
protection and global rights. Shire believes that a carefully
selected and balanced portfolio of products with strategically
aligned and relatively small-scale sales forces will deliver strong
results.

For further information on Shire, please visit the Company's
website: http://www.shire.com.

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION
REFORM ACT OF 1995

Statements included herein that are not historical facts are
forward-looking statements. Such forward-looking statements involve a
number of risks and uncertainties and are subject to change at any
time. In the event such risks or uncertainties materialize, the
Company's results could be materially adversely affected. The risks
and uncertainties include, but are not limited to, risks associated
with: the inherent uncertainty of research, development, approval,
reimbursement, manufacturing and commercialization of the Company's
Specialty Pharmaceuticals, Human Genetic Therapies and Regenerative
Medicine products, as well as the ability to secure new products for
commercialization and/or development; government regulation of the
Company's products; the Company's ability to manufacture its products
in sufficient quantities to meet demand; the impact of competitive
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For further information please contact:
Investor Relations:
Eric Rojas, erojas@shire.com, +1-781-482-0999
Sarah Elton-Farr, seltonfarr@shire.com, +44-1256-894157
Media:
Jessica Mann (Corporate), jmann@shire.com, +44-1256-894-280
Gwen Fisher (Specialty Pharma), gfisher@shire.com, +1-484-595-9836

ots Originaltext: Shire Pharmaceuticals Group Plc
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