Aug. 10 at 11:34 AM
$JAZZ Jazz Pharmaceuticals to acquire Actio Biosciences for
$820M upfront
Jazz Pharmaceuticals and Actio Biosciences announced the companies have entered into a definitive agreement for Jazz to acquire privately-held Actio Biosciences for
$820M upfront and up to
$500M in contingent consideration. Under the terms of the merger agreement, Actio Biosciences shareholders will receive an
$820M upfront payment and up to
$500M in potential approval and sales milestones. As part of the transaction, and concurrently with closing, Actio Biosciences will spin out a new privately-held entity with certain management, employees and assets (not including ABS-1230 which remains with Actio Biosciences and is being acquired by Jazz).
The new, independent private company will be funded by existing investors, with Jazz receiving a minority stake and certain related rights. The focus of the new company will be on genetic rare neurological diseases, which will include a clinical-stage small molecule TRPV4 inhibitor, ABS-0871, for Charcot-Marie-Tooth type 2C and other early-stage programs. With the focus on rare disease, this investment in the new entity represents a strong strategic fit for Jazz's long-term strategy. The transaction has been unanimously approved by the boards of both companies and is expected to close by the fourth quarter of 2026, subject to customary closing conditions. Jazz will fund the transaction through a combination of cash on hand and drawing on existing financing facilities.
