Teva To Acquire Auspex
Teva Pharmaceutical Industries Ltd. has agreed to acquire the specialty biopharmaceutical company Auspex Pharmaceuticals, Inc. for $101.00 per Auspec share in cash, representing a total consideration of approximately $3.2 billion in enterprise value and approximately $3.5 billion in equity value. This transaction is expected to enhance Teva's revenue and earnings growth profile and strengthen its core central nervous system (CNS) franchise. The transaction has been unanimously approved by the boards of directors of both Teva and Auspex, and key shareholders of Auspex have entered into agreements indicating their support for the transaction. The deal is expected to close in mid-2015.
Auspex is a biopharmaceutical company specializing in applying deuterium chemistry to known molecules to create novel therapies with improved safety and efficacy profiles. Its lead investigational product, SD-809 (deutetrabenazine), which leverages Auspex's deuterium technology platform, is being developed for the potential treatment of chorea associated with Huntington's disease, tardive dyskinesia, and Tourette syndrome, with a pharmacokinetic profile that allows for lower doses resulting in a favorable safety profile.In 2014, Auspex reported positive results from its Phase III clinical trial for SD-809 in Huntington's disease, with plans to submit a new drug application (NDA) for this indication by mid-2015. SD-809 has been granted orphan drug designation for the treatment of Huntington’s disease by the US Food and Drug Administration (FDA), and Auspex expects regulatory approval and commercial launch for this indication in 2016 in the United States. Topline results for Auspex's Phase 3 ARM-TD study of SD-809 as a potential treatment for tardive dyskinesia, a disorder for which there are no approved therapies, are also expected in mid-2015. SD-809 is currently in Phase III for tardive dyskinesia and Phase I for Tourette syndrome. Other pipeline candidates include deuterated versions of pirfenidone for idiopathic pulmonary fibrosis and levodopa for Parkinson's disease. Auspex has an additional 60 molecules in its patent portfolio.
Source: Teva Pharmaceutical Industries