Alexion Pharmaceuticals To Acquire Portola Pharmaceuticals for $1.4 Bn
Alexion Pharmaceuticals, a Boston-based biopharmaceutical company focused on rare diseases, has agreed to acquire Portola Pharmaceuticals, a South San Francisco-based commercial-stage biopharmaceutical company, for $1.4 billion.
Portola’s lead commercial product is Andexxa [coagulation factor Xa (recombinant), inactivated-zhzo], marketed as Ondexxya in Europe, a Factor Xa inhibitor reversal agent, which reverses the anticoagulant effects of Factor Xa inhibitors, rivaroxaban and apixaban, in severe and uncontrolled bleeding.
The merger agreement has been unanimously approved by the boards of Alexion and Portola. Under the merger agreement, a subsidiary of Alexion will commence a tender offer to acquire all of the outstanding shares of Portola’s common stock at a price of $18 per share in cash. The tender offer is subject to customary conditions, including the tender of a majority of the outstanding shares of Portola common stock, the expiration or termination of the waiting period under the Hart-Scott Rodino Antitrust Improvements Act of 1976, and receipt of certain other regulatory approvals.
Following successful completion of the tender offer, Alexion will acquire all remaining shares not tendered in the offer at the same price of $18 per share through a merger. The transaction is expected to close in the third quarter of 2020.
As part of the acquisition, Alexion will also be acquiring cash currently on Portola’s balance sheet, net of debt of approximately $215 million that will become due upon closing. As of December 31, 2019, cash and short-term investments were approximately $430 million. The actual amounts will be determined as of the transaction close.