Ache drug firm Collegium Pharmaceutical is broadening its scope with the acquisition of BioDelivery Sciences Worldwide, a specialty pharmaceutical firm constructed round a expertise platform that permits ache medicine to be dosed through a skinny, dissolvable movie positioned on the within of the cheek.
Based on monetary phrases introduced Monday, Stoughton, Massachusetts-based Collegium pays $5.60 for every share of BDSI, a 54% premium to the corporate’s closing inventory value final Friday. The all-cash transaction values BDSI, primarily based in Raleigh, North Carolina, at about $604 million.
Collegium’s portfolio has two commercialized ache merchandise, each of them oral opioids indicated for around-the-clock ache administration. Xtampza ER, which incorporates oxycodone, is a capsule given each 12 hours, whereas the Nucynta franchise is comprised of three totally different strengths of tapentadol in tablets that sufferers take each 4 to 6 hours. The 2 medicine generated $310 million in income in 2020, in response to Collegium’s monetary statements. In the meantime, BDSI’s top-selling product, Belbuca, administers the opioid buprenorphine utilizing the corporate’s dissolvable movie expertise. That drug accounted for $136.1 million in product gross sales in 2020.
Talking on a convention name Monday, Collegium CEO Joe Ciaffoni mentioned that portfolio diversification is amongst his firm’s prime objectives, and BDSI was the “highest precedence goal.” Ciaffoni added that Belbuca enhances relatively than competes with Collegium’s present drug lineup.
“We do view the acquisition as complementary, and these merchandise as distinctly positioned in several parts of the ache market,” he mentioned.
The acquisition may even convey Collegium one other BDSI product. Elyxyb is an oral answer accepted by the FDA for treating acute migraine ache in adults. Final September, BDSI acquired U.S. and Canadian rights to the drug from Dr. Reddy’s Laboratories, and it deliberate to launch the brand new asset within the first quarter of 2022. Ciaffoni declined to touch upon commercialization plans for the migraine drug, aside from to say that the drug offers Collegium a strategic foothold in neurology, a precedence space for the corporate.
Collegium is coming off of a company restructuring introduced final November that slashed headcount by 20%. The BDSI acquisition has already been unanimously accepted by the boards of administrators of each firms, and the deal is anticipated to shut late within the first quarter of this yr. When it does, Collegium is projecting synergies of a minimum of $75 million yearly, primarily based on BDSI’s estimated 2021 working bills. It’s the second main acquisition for Collegium in as a few years. The Nucynta merchandise joined the corporate’s portfolio through a 2020 deal that paid Assertio Therapeutics $375 million for U.S. rights to the medicine.
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