J&J Buys Aragon For Cancer Drug

Johnson & Johnson has agreed to acquire Aragon Pharmaceuticals, a San Diego-based small-molecule biotech firm, for $650 million plus up to $350 million in milestone payments. J&J is buying the four-year-old company mainly for ARN-509, an androgen receptor antagonist that is in Phase II clinical trials to treat patients with castration-resistant prostate cancer. Before the deal closes, Aragon will spin off a new company, Seragon Pharmaceuticals, that will focus on Aragon’s selective estrogen receptor degrader program, including ARN-810, which is in a Phase I trial for metastatic breast cancer.