Zogenix Inc.’s Fintepla (fenfluramine) cleared the U.S. FDA hurdle shortly after its March 25 PDUFA date, expanding the drug’s use in patients with Lennox-Gastaut syndrome (LGS) and validating UCB SA’s $1.9 billion acquisition of Emeryville, Calif.-based firm, which closed earlier this month.
UCB SA has unveiled plans to acquire Zogenix Inc. in a deal worth up to $1.9 billion (€1.7 billion), adding to its portfolio an approved drug aimed at rare forms of epilepsy. Brussels-based UCB will pay $26 per share in cash for the Emeryville, Calif.-based biotech, plus a contingent value right of $2 per share, which would pay out upon approval of the oral drug Fintepla (fenfluramine) for Lennox-Gastaut syndrome.
Questions about the price tag, the extent of diligence done on intellectual property, and the staying power of Epidiolex (cannabidiol) as well as the potential of other prospects in the acquiree’s pipeline bubbled up during the conference call related to Jazz Pharmaceuticals plc’s whopping takeover of GW Pharmaceuticals plc.
While the FDA approved Zogenix Inc.’s Fintepla (fenfluramine), an oral treatment for patients ages 2 and older with seizures associated with Dravet syndrome, a rare, pediatric-onset form of epilepsy, the company stock continued its months-long struggle.
Emeryville, Calif.-based Zogenix Inc.’s positive top-line data from the phase III study with Fintepla (fenfluramine oral solution) in Lennox-Gastaut syndrome (LGS) failed to charm Wall Street, which by day’s end trimmed the shares (NASDAQ:ZGNX) by $20.50, or 39%, putting the final price at $32.12.