- H. Lundbeck A/S (OTC:HLUKF) has agreed to acquire Alder BioPharmaceuticals (NASDAQ:ALDR) for $18 per share in cash plus one non-tradeable Contingent Value Right (CVR) for an additional $2 per share if migraine med eptinezumab is approved by the European Medicines Agency (EMA). The total value of the transaction is up to $1.95B.
- Alder plans to file its European marketing application in 2020 followed by applications globally, including China and Japan. Its U.S. filing is currently under FDA review with an action date of February 21, 2020.
- The deal, expected to close in Q4, will be dilutive to Lundbeck's 2019 EBIT and cash flow, but will be immaterial to revenue. Its dividend policy will remain unchanged.
- Lundbeck will host a conference call today at 5:00 am ET to discuss the transaction.
- ALDR is up 81% premarket.