Woodcliff Lake-based Eagle Pharmaceuticals said Monday it is acquiring Britain-based Acacia Pharma in a deal that values the firm at around $102 million.
Following the deal, Eagle will gain possession of two marketed products, Byfavo, a sedative medicine for adults undergoing procedures lasting 30 minutes or less; and Barhemsys, approved in U.S. for rescue treatment of postoperative nausea and vomiting despite prophylaxis and also approved for preventing/treating PONV in those who have not received prophylaxis.
Acacia said it has been negatively impacted by physical access limitations caused by the COVID-19 pandemic, and the board had therefore opted for a sale.
“We are delighted to announce that we have agreed to terms for the proposed acquisition of Acacia Pharma,” stated Scott Tarriff, CEO and president of Eagle Pharmaceuticals. “This will be a very important acquisition for us, both financially and strategically. In recent years, the pharmaceutical industry has witnessed slower uptake of new products and longer ramp periods. In the face of further challenges brought about by the COVID-19 pandemic, many smaller, underfunded companies experienced significant hurdles launching products. We therefore believe that Eagle is well suited to drive uptake of these two new products, building from Acacia Pharma’s established foundation since its launch, through our experienced and specialized hospital-based sales organization with minimal additional infrastructure.”
The proposed transaction has been approved by the boards of directors of both companies and is expected to close in late Q2, subject to approval by Acacia Pharma’s shareholders and the sanction of the High Court of England and Wales and customary closing conditions for transactions of this type.