NuPathe holders will receive $3.65 a share in cash, Teva said in a statement today. The price is 59 percent above NuPathe’s closing level on Dec. 13, the last trading day before Endo said it had agreed to buy the company. NuPathe holders may collect as much as $3.15 a share in additional payments from Teva if the Zecuity migraine treatment meets sales goals.
The purchase will add to Teva’s lineup of drugs to treat central nervous system illnesses, and the Petach Tikva, Israel-based company said it can use NuPathe’s patch technology in other areas. Zecuity uses a battery-powered patch to deliver the treatment through the skin, combating headaches and related nausea. The product was approved in the U.S. in 2013.
“We believe that Zecuity is a great fit within our existing U.S. CNS business unit, with near-term sales and significant commercial potential,” Mike Derkacz, vice president and general manager of Teva’s central nervous system business, said in the statement.
Endo had agreed to pay holders of Malvern, Pennsylvania-based NuPathe $2.85 a share plus additional payments of as much as $3.15 a share. Teva said Jan. 8 it was seeking to outbid Endo.
NuPathe paid a $5 million breakup fee to Chadds Ford, Pennsylvania-based Endo to pay end their agreement, Endo said in a statement today.
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