Mallinckrodt to acquire Cadence Pharmaceuticals for about US$1.3bn
Adds Ofirmev treatment for pain to kickstart growth in the hospital sector
Mallinckrodt Pharmaceuticals plc, a speciality pharmaceuticals company registered in Dublin, Ireland, and with its US headquarters in St Louis, Missouri, is to acquire Cadence Pharmaceuticals for US$14.00 per share in cash or approximately $1.3bn.
Subject to customary terms and conditions, the companies expect the transaction to close in mid-to-late March. San Diego, CA, US-based Cadence will then merge with a subsidiary of Mallinckrodt.
Cadence Pharmaceuticals is a biopharmaceutical company focused on products that are mainly used in hospitals. The company’s leading product Ofirmev (acetaminophen injection) is a proprietary intravenous formulation of acetaminophen for pain management.
Mallinckrodt says Ofirmev adds a 'powerful growth product' to its portfolio of core controlled substance generics and its growing selection of brands such as Exalgo, Gablofen, Pennsaid 2% and, if approved, Xartemistm XR and longer term, MNK-155. Cadence's strong presence in the hospital sector adds further potential for growth.
'Ofirmev’s growth is driven by an expanding base of physicians who are prescribing the product for an increasing number of surgical patients, and we believe the product will be an outstanding addition to the brands component of Mallinckrodt’s Specialty Pharmaceutical segment,' said Mark Trudeau, Chief Executive and President of Mallinckrodt.
Ted Schroeder, President and Chief Executive of Cadence Pharmaceuticals, added: 'We believe Mallinckrodt is a natural fit to provide the resources and expertise that can expand patient access for Ofirmev.'
