Teva has completed its $3.5-billion purchase of Auspex Pharmaceuticals, in a move the Israeli drugmaker says will enhance its revenue and earnings growth profile and strengthen its core central nervous system franchise.
The moves gives the firm access to Auspex’ lead investigational product SD-809 (deutetrabenazine), which is being developed for the potential treatment of chorea associated with Huntington’s disease, tardive dyskinesia, and Tourette syndrome. Teva said it is expecting a US launch for the drug to treat Huntington’s sometime in 2016, if regulatory approval is granted.
According to chief executive Erez Vigodman, the combination of Auspex’ portfolio with Teva’s research and commercialisation capabilities “will unlock significant value” for shareholders.
Still hot for Mylan
Meanwhile, Teva remains intent on carrying through its proposed purchase of generics giant Mylan, despite the latter’s rejection of its $43 billion offer.
The Jerusalem-headquartered group has now posted an updated investor presentation to its website, touting the benefits of the marriage.
“Together with Mylan, we would have the infrastructure and the capabilities to more quickly pursue a differentiated business model that meets the evolving needs of patients and customers and support the highest levels of quality and clinical excellence,” said Vigodman, and reiterated his company’s commitment to the move.
Mylan sees Q1 profit drop
Mylan, which itself is currently in hot pursuit of Dublin, Ireland-based group Perrigo, has just posted a substantial drop in first-quarter profit from $116 million, or $0.29 a share, to $56.6 million, or $0.13 a share, although this was largely because of acquisition costs.
Excluding these costs and other special items, earnings per share climbed from $0.66 to $0.70, as sales, despite taking a hit from currency effects, climbed $1.87 billion from $1.72 billion in the year-ago period.