Allergan entered into a definitive agreement to acquire Vitae Pharmaceuticals for $21 per share in cash, or approximately $639 million, the companies reported Wednesday. The deal, which represents a 160-percent premium to Vitae's closing share price on September 13 and has been approved by the boards of directors of both companies, will strengthen Allergan's dermatology pipeline.
"Vitae has pioneered the discovery and development of highly differentiated first-in-class compounds in atopic dermatitis, psoriasis and autoimmune diseases," remarked Allergan CEO Brent Saunders. Through the transaction, Allergan will gain rights to Vitae's VTP-43742 for the potential treatment of psoriasis and other autoimmune disorders, as well as VTP-38543 for the potential treatment of atopic dermatitis.
Earlier this year, Vitae unveiled positive mid-stage study data for VTP-43742, an orally active retinoic acid receptor-related orphan receptor gamma inhibitor, in the treatment of moderate-to-severe psoriasis. Meanwhile, the company revealed in 2015 that the first patient was dosed in a Phase IIa proof-of-concept study of VTP-38543, a topical liver X receptor beta selective agonist, for the treatment of atopic dermatitis.
The transaction is projected to close by the end of the year. For related analysis, see ViewPoints: Allergan/Vitae deal keeps dermatology in shop window.
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