Shares of Horizon Pharma PLC (NASDAQ:HZNP) ended Friday session in green amid volatile trading. The shares closed up +0.02 points or 0.10% at $19.43 with 2.15 million shares getting traded. Post opening the session at $19.32, the shares hit an intraday low of $19.21 and an intraday high of $19.85 and the price vacillated in this range throughout the day. The company has a market cap of $3.13 billion and the numbers of outstanding shares have been calculated to be 160.90 million shares.
On Sept. 12, 2016 Horizon Pharma plc (HZNP) and Raptor Pharmaceutical Corp. (RPTP) announced the companies have entered into a definitive agreement under which Horizon Pharma will acquire all of the issued and outstanding shares of Raptor Pharmaceutical Corp. common stock for $9.00 per share in cash, for an implied fully diluted equity value of approximately $800 million. The transaction is expected to close in the fourth quarter of 2016.
“The proposed acquisition of Raptor furthers our commitment to helping people with rare diseases and is a significant step in advancing our strategy to expand our rare disease business,” said Timothy P. Walbert, chairman, president and chief executive officer, Horizon Pharma plc. “Along with the potential for accelerated revenue growth, the addition of Raptor strengthens our U.S. orphan business and provides a platform to expand our orphan business in Europe and other key international markets. We look forward to working with new patient communities and building on the success of the Raptor team.”
Strategic and financial benefits of the transaction:
- Strengthens Horizon’s focus on rare diseases and provides expansion into Europe and other international markets.
- Adds PROCYSBI® delayed-release capsules and QUINSAIR™ (aerosolized form of levofloxacin) global rights, with PROCYSBI having strong patent protection through 2034.
- Diversifies revenue with 11 medicines across three business units: orphan, rheumatology and primary care.
- Bolsters rare disease revenue, which in the first half of 2016 on a pro-forma basis was 45 percent of total Horizon Pharma revenue.
- Expected to be accretive to adjusted EBITDA in 2017.
“This transaction will deliver significant and immediate value to our shareholders through a compelling all-cash premium and provide ongoing value to our patients, their families and the physicians who treat them,” said Julie Anne Smith, president and chief executive officer, Raptor Pharmaceutical Corp. “On behalf of the Board and management team, I extend our deepest gratitude to everyone at Raptor for their unrelenting commitment to advancing the development of our medicines and their tireless work with the patients we serve.”
Shares of Anavex Life Sciences Corp. (NASDAQ:AVXL) ended Friday session in red amid volatile trading. The shares closed down -0.17 points or 5.18% at $3.11 with 2.11 million shares getting traded. Post opening the session at $3.22, the shares hit an intraday low of $3.02 and an intraday high of $3.24 and the price vacillated in this range throughout the day. The company has a market cap of $117.13 million and the numbers of outstanding shares have been calculated to be 35.71 million shares.
Anavex Life Sciences Corp. (AVXL) on Sept. 22, 2016 presented preclinical data demonstrating that ANAVEX 2-73, a sigma-1 receptor agonist, restores function in a classic animal model of Parkinson’s disease. Significant improvements were seen on all measures: behavioral, histopathological, and neuroinflammatory endpoints.
Veronica Francardo, PhD, and Angela Cenci, PhD, main authors of the study at Lund University, Sweden, commented: “We are in the fortunate situation that safety and tolerability of this compound have already been proven in human subjects, and that preliminary indications of a cognitive benefit have been obtained in a Phase 2a clinical trial for Alzheimer’s disease.”
Dosing of ANAVEX 2-73 daily for five weeks in a 6-hydroxydopamine lesions mouse model of Parkinson’s disease was followed by a battery of standardized tests that are linked to parkinsonian motor symptoms. The data indicates that ANAVEX 2-73 is well tolerated, induces significant motor recovery (p<0.05), induces neurohistological restoration (p<0.05) and reduces microglial activation (p<0.05), a potential biomarker of Parkinson’s disease. Behavioral patterns were completely normal, meaning no signs of either dystonia or stereotypic behaviors were detected in animals receiving the treatment. Further analyses are ongoing to confirm the neuroprotective effects of the compound and possibly elucidate some of the underlying mechanisms that contribute to the disease-modifying properties of ANAVEX 2-73. The study is funded by The Michael J. Fox Foundation for Parkinson’s Research.
Christopher U. Missling, PhD, President and Chief Executive Officer of Anavex, stated, “This initial data is encouraging, and together with already available clinical safety and tolerability data on ANAVEX 2-73, might accelerate the exploration of ANAVEX 2-73 as a potential therapeutic intervention in Parkinson’s disease.”