Indian multinational pharmaceutical company Sun Pharmaceutical industries will acquire the US-based Concert Pharmaceuticals for $576 million, the company announced on 19 January 2023.
Sun Pharma and Concert executed a definitive agreement under which the former will acquire all outstanding shares of Concert for an upfront payment of $8.00 per share of common stock in cash, or $576 million in equity value, the company said in a press release.
With the deal, Sun Pharma can access the US company’s drugs for treating skin diseases, including patchy hair loss. Concert has an extensive patent portfolio, including its lead product candidate deuruxolitinib – an oral inhibitor of Janus kinases JAK1 and JAK2 for the treatment of Alopecia Areata, an autoimmune dermatological disease.
“Sun Pharma is building a global dermatology and ophthalmology franchise and aims to be a preferred development and commercial partner in these therapies worldwide. The acquisition of Concert adds a late-stage, potential best-in-class treatment for Alopecia Areata in deuruxolitinib,” said Abhay Gandhi, CEO North America, Sun Pharma. “There is a significant unmet need in the Alopecia Areata space and we aim to build on Concert’s commitment to supporting the Alopecia Areata patient community. We are well-positioned to successfully bring this product to market globally. I look forward to welcoming the talented Concert team who have worked tirelessly to develop the product to bring it to market.”
Roger Tung, president and CEO of Concert, said the deal delivers substantial value to its shareholders. “Our mission at Concert has always been to translate innovative science to clinical solutions in order to meaningfully improve patients’ lives. We are proud to see our team’s accomplishment – creating a valuable new drug candidate for a major, underserved disease – appropriately recognized and valued by Sun Pharma as a means to expand their ongoing, international commitment to dermatology. I am confident that this transaction will maximize value for our shareholders and enhance access to deuruxolitinib for patients with Alopecia Areata,” Tung said.
