Depomed Inc. said it expects its annual revenue to more than double in 2015 with the addition of U.S. rights to Janssen Pharmaceuticals Inc.'s Nucynta pain drug franchise. The Newark, Calif.-based firm is paying $1.05 billion for the two pain products, an immediate-release and an extended-release version of tapentadol.
The deal, announced just after market close Thursday, gave shares of Depomed (NASDAQ:DEPO) a nudge of $1.10, or 6.2 percent, in afterhours trading. The stock closed Friday at $20.20, up $2.55, or 14.5 percent.
"We really are emerging as a leading player in the pain and neurology space," President and CEO Jim Schoeneck told investors on a Thursday evening conference call, adding, "We believe we have plenty of room for growth."