Endo, NuPathe, Teva deal

Specialty pharma NuPathe terminated a merger with Endo and instead will now be acquired by Teva. Teva is paying $3.65 per NuPathe share in cash up front, or about $144 million. The price is a 28% premium to the $2.85 per share price at which Endo was acquiring NuPathe. Teva - which also loaned NuPathe $5 million for the termination fee for the Endo deal - made the unsolicited cash offer for NuPathe earlier this month (see BioCentury, Jan. 13).

Under both Teva's offer and the terminated Endo deal, NuPathe shareholders are eligible to receive up to an additional $3.15 per share tied to sales milestones for migraine product Zecuity sumatriptan, which FDA approved in January 2013. Teva said it plans to launch the transdermal patch delivering sumatriptan via iontophoresis this half. Under the Teva deal, NuPathe shareholders are eligible to receive $2.15 per share if Zecuity net sales exceed $100 million during any consecutive four-quarter period on or prior to the sixtieth day following the ninth anniversary of the first commercial sale of Zecuity and an additional $1 per share if Zecuity net sales exceed $300 million during any consecutive four-quarter period on or prior to the sixtieth day following the ninth anniversary of the first commercial sale of Zecuity. ...