Chelsea Therapeutics, Lundbeck deal

Lundbeck will acquire Chelsea in a deal worth up to $7.94 per share, or about $626.8 million based on 78.9 million Chelsea shares outstanding as of May 2. Chelsea shareholders will receive $6.44 per share in cash, or about $508.3 million. The cash price is a 29% premium to Chelsea's close of $5 on May 7, before the deal was announced. Chelsea shareholders will also receive a contingent value right (CVR) worth up to $1.50, or about $118.4 million, tied to sales of the company's Northera droxidopa. Holders of the CVR will receive up to $0.50 if Northera worldwide net sales, excluding Japan, Korea, China and Taiwan, exceed $100 million in 2015; up to $0.50 if Northera sales exceed $200 million in 2016; and up to $0.50 if Northera sales exceed $300 million in 2017. FDA granted accelerated approval to Northera to treat neurogenic orthostatic hypotension (NOH) in February. Lundbeck plans to launch the orally available synthetic precursor of norepinephrine next half. ...