(Reuters) – U.S. specialty drugmaker Allergan Inc pronounced late on Tuesday that it would buy MAP Pharmaceuticals Inc for about $958 million in cash, an merger dictated to dilate a participation in a diagnosis of adult migraines.
MAP Pharmaceuticals is building Levadex, an orally inhaled drug for a strident diagnosis of migraines in adults. Levadex is now underneath examination by a U.S. Food and Drug Administration, that is set to make a preference about a drug around Apr 15.
Under a deal, Allergan will acquire 100 percent of a shares of MAP Pharmaceuticals during $25 per share, a 60 percent reward over MAP’s shutting batch cost on a Nasdaq of $15.58 on Tuesday.
“We devise to gain on abyss of imagination in neurology as we continue a tellurian growth of Levadex as a intensity strident diagnosis for migraine,†Allergen Chief Executive David Pyott pronounced in a statement.
In a final few years, Allergan has perceived regulatory approvals in 56 countries for a drug Botox for use in a diagnosis of ongoing migraine. Allergen now aims to position Levadex as a intensity diagnosis for migraine that is interrelated to Botox.
Botox, a renouned fold treatment, had also formerly been authorized for other non-cosmetic uses such serious underarm sweating and detriment of bladder control due to haughtiness damage.
Allergan expects a MAP understanding to intermix 2013 gain by about 7 cents a share and supplement to a gain by a second half of 2014.
The association expects to account a understanding with a multiple of money on hand, money equivalents and short-term borrowings underneath a blurb paper program. The transaction is not theme to any financing contingency.
(Reporting by Sakthi Prasad in Bangalore; Editing by Chris Gallagher and Miral Fahmy)
