Allergan has entered into an agreement to acquire Tobira Therapeutics in a deal worth approximately $1.695 billion.
Tobira is a clinical-stage biopharmaceutical company that develops therapies for non-alcoholic steatohepatitis (NASH) and other liver diseases. NASH is commonly associated with obesity and type 2 diabetes.
“The acquisition of Tobira is a strategic R&D investment within a white space area of our global Gastroenterology franchise and an opportunity to advance the development of novel treatments for NASH,” said Brent Saunders, CEO and President of Allergan. “With this acquisition, Allergan will now have one of the strongest portfolios of development stage programs for the treatment of NASH, with Cenicriviroc as the cornerstone. We will continue to look for differentiated development-stage assets that can bolster this position and enhance our commitment to innovation in this disease.”
Allergan will pay $28.35 per share and up to $49.84 per share in Contingent Value Rights (CVRs) for the addition of the following two development programs to Allergan’s gastroenterology R&D pipeline:
- Cenicriviroc (CVC): a Phase 3 dual inhibitor of the CCR2 and CCR5 pathways (which play a key role in the cycle of inflammation and fibrosis)
- Evogliptin: a Phase 1, orally bioavailable, selective dipeptidyl peptidase-4 (DPP-4) inhibitor
“Both the CVC and Evogliptin programs provide highly differentiated compounds that can make a significant impact in the treatment of NASH, where today there are no approved therapies available for patients,” said David Nicholson, Chief Research & Development Officer, Allergan. “Importantly, NASH treatment may well require a multi-therapeutic approach to address the multiple factors of the disease. . . . Together, these programs provide a highly complementary potential therapeutic approach to address the inflammatory, metabolic and fibrotic elements of NASH that the medical community will need to treat this condition.”
“With the increasing rates of diabetes, obesity, and other metabolic conditions in the U.S. and in developed nations globally, NASH is set to become one of the next epidemic-level chronic diseases we face as a society,” said Saunders.
According to the press release, “[t]he closing of the tender offer is subject to customary closing conditions, including U.S. antitrust clearance and the tender of a majority of the outstanding shares of Tobira common stock.”
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Filed Under: Drug Discovery
