Tuesday, Concord Biosciences HRMY introduced the acquisition of Epygenix Therapeutics, including a uncommon epilepsy franchise to its increasing late-stage pipeline of central nervous system (CNS) property.
Underneath the phrases of the definitive settlement, Concord paid $35 million in money with the potential for funds of as much as $130 million primarily based on growth and regulatory milestones.
As well as, there are potential funds of as much as $515 million if sure gross sales milestones are achieved.
“The acquisition of Epygenix offers us three distinct CNS franchises in late-stage growth, every with a possible US peak gross sales alternative of $1B-$2B,” stated Jeffrey M. Dayno, M.D., President and Chief Govt Officer at Concord Biosciences.
“We’ve been strategically constructing a strong and numerous pipeline of revolutionary CNS property for uncommon illnesses that has remodeled our enterprise. This acquisition builds on our management place in sleep/wake and our franchise in neurobehavioral problems…”
The acquisition consists of clemizole hydrochloride (EPX-100), a potent, oral, centrally appearing serotonin (5HT2) agonist. It’s at present in a pivotal registrational scientific trial for Dravet syndrome in youngsters and adults and is poised to enter Section 3 for Lennox-Gastaut syndrome.
A second investigational product, EPX-200, is a potent, oral, centrally energetic , and selective 5HT2C agonist and is at present in IND-enabling research.
Concord Biosciences reported that the primary quarter adjusted EPS of $0.88, up from $0.66 a 12 months in the past, beat the consensus of $0.62.
The corporate reported gross sales of $154.6 million, lacking the consensus of $154.8 million.
The 30% progress versus the identical interval in 2023 is primarily attributed to sturdy business gross sales of WAKIX pushed by continued natural demand tapping into a big market alternative (roughly 80,000 sufferers identified with narcolepsy within the US).
The common variety of sufferers on WAKIX elevated by roughly 150 sufferers sequentially to roughly 6,300 for the quarter ended March 31, 2024.
Steerage: Concord reiterates fiscal 12 months 2024 web product income of $700 million to $720 million versus consensus of $710.8 million.
Worth Motion: HRMY shares are up 9.79% at $32.11 at the final examine Tuesday.
