Teva to acquire Labrys Biologics for $825 million
Wednesday, June 4, 2014
Teva Pharmaceutical Industries will acquire Labrys Biologics, a privately held development stage biotechnology company focused on treatments for chronic migraine and episodic migraine, broadening Teva’s array of biotechnology assets and capabilities.
Teva will acquire Labrys for $200 million in cash at closing, plus up to $625 million in contingent, pre-launch milestone payments. Potential peak sales for LBR-101 are estimated to reach $2 billion to $3 billion.
The Labrys acquisition adds a significant migraine prophylaxis dimension to Teva’s extensive pain care franchise, which includes a range of investigational, approved and marketed treatments for migraine, cancer pain and chronic pain.
Labrys is developing LBR-101, a fully humanized monoclonal antibody that binds to calcitonin gene-related peptide (CGRP), currently in phase IIb clinical trials for prevention of chronic and episodic migraine. Teva’s acquisition of the LBR-101 program targeting high-frequency episodic and chronic migraine complements the recent addition of Zecuity, an innovative therapy for the acute treatment of migraine, obtained through the acquisition of NuPathe.
This ability to treat both acute and chronic migraine builds on Teva’s pain portfolio, recently strengthened by positive pivotal phase III results achieved by Teva’s potential abuse-deterrent, extended-release hydrocodone. The results gave a clear indication, in a clinical setting, of the promise of Teva’s proprietary technology with potential abuse-deterrent properties in a range of opioid medications.
“More than 8.5 million people in the U.S., E.U. and Japan suffer from episodic or chronic migraine requiring preventative treatment, a condition that can destroy their quality of life,” said Michael Hayden, Teva’s president of global R&D and chief scientific officer.