U.S.-based SuperGen will merge with the U.K.'s Astex Therapeutics in a deal they say will create "a financially strong international oncology company," according to Pharma Times.

SuperGen will purchase Astex for $25 million in cash, plus stock representing 35% of the total post-closing float.

The combined entity, to be named Astex Pharmaceuticals, says it plans to profit from SuperGen's Dacogen (decitabine) for myelodysplastic syndrome. The drug is marketed in North America by Eisai and in the rest of the world by Johnson & Johnson.

The combined company’s clinical pipeline will include seven drugs, four of which are currently in or entering into phase II and three which are currently partnered with pharmaceutical companies including GlaxoSmithKline, Novartis and AstraZeneca, as well as Eisai and Johnson & Johnson.