Amgen to buy Decode Genetics for $415 million

Amgen Inc, the world's largest biotechnology firm, yesterday said that it will buy genetic-research company  Decode Genetics from Saga Investments, for $415 million in cash in order to develop treatments that target defective genes.

The deal comes a few months after London-based GlaxoSmithKline acquired Human Genome Sciences for $3 billion.

Decode Genetics is owned by Saga Investments, a consortium of private equity firms that includes Polaris Venture Partners and Arch Venture Partners, which bought the Reykjavik, Iceland-based company out of bankruptcy in 2010.

Founded in 1996 by Kari Stefansson, Decode Genetics is a global leader in analysing and understanding the link between the genome and disease susceptibility.

Using its unique expertise and access to a well-defined population in Iceland, the comnpany has discovered genetic risk factors for dozens of diseases ranging from cardiovascular disease to cancer.

"Decode Genetics has built a world-class capability in the study of the genetics of human disease," said Robert Bradway, president and CEO at Amgen.