Allergan in $958m neurology deal

pharmafile | January 25, 2013 | News story | Sales and Marketing Allergan, CNS, MAP Pharmaceuticals, migraine 

Allergan is to pay $958m for MAP Pharmaceuticals in a deal which sees both companies hoping to reap the benefits from a yet-to-be approved migraine drug.

Biopharmaceutical company MAP, which focuses on neurology, hopes the FDA will make a decision on the orally-inhaled investigational drug Levadex, for the acute treatment of migraine, in April. 

Allergan, maker of Botox – among whose indications is the prophylactic treatment of headaches in adults with chronic migraine – will co-promote Levadex in North America as part of the deal.

“We plan to capitalize on this depth of expertise in neurology as we continue the global development of Levadex as a potential acute treatment for migraine that is complementary to Botox,” explained Allergan chief executive David Pyott.

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The brands will compete with Pfizer’s Relpax and GlaxoSmithKline’s Imitrex, both of whom will be wary of Allergan’s drive into the market. 

MAP’s proprietary drug particle and inhalation technologies are also of value to Allergan in the search for new pipeline opportunities.

Allergan is buying all shares in Nasdaq-listed MAP for $25 each – a full 60% more than they were worth at closing on 22 January – in a transaction which has been unanimously approved by both boards.

The companies say the acquisition is expected to close “late in the first quarter or in the second quarter of 2013”.

MAP chief executive Timothy Nelson said: “We believe this acquisition by our partner Allergan will increase the potential for our product candidates to make a meaningful difference for patients.”

The companies entered their collaboration agreement on Levadex as far back as January 2011, with MAP submitting a New Drug Application in May of that year.

In October 2012, in response to the FDA’s comments and requests for more data, the Levadex NDA was resubmitted.

The FDA classified this as a complete Class 2 response and set a target date of 15 April under the Prescription Drug User Fee Act.

 

Adam Hill

 

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