Uncommon Profit Investor • 11 Comments
Wed, Aug. 24, 8:38 AM
- Mallinckrodt (NYSE:MNK) inks a deal to sell its Nuclear Imaging business to IBA Molecular for ~$690M, consisting of an upfront payment of $574M, contingencies of $77M and the assumption of $39M in long-term obligations.
- The unit includes a portfolio of diagnostic imaging products including the medical isotope molybdenum-99, the source of technetium-99m, used in ~80% of nuclear medicine procedures worldwide. About 2/3 of the total business is in the U.S.
- The transaction, expected to close in H1, 2017, includes 800 employees and two manufacturing facilities in Missouri and the Netherlands.
Wed, Aug. 10, 6:54 PM
- Mallinckrodt plc (NYSE:MNK) acquires privately held Stratatech for an undisclosed sum. The Madison, WI-based regenerative medicine firm develops proprietary skin substitute products.
- Its lead pipeline candidate is Phase 3-stage StrataGraft, an "off-the-shelf" skin substitute for the treatment of severe burns.
- The transaction should close later this year. According to the company, it is unable to provide guidance on the impact of the deal to EPS due to the difficulty in forecasting the timing or amount of items that would impact GAAP earnings.
Dec. 18, 2015, 9:16 AM
- Mallinckrodt (NYSE:MNK) acquires three hemostasis products from The Medicines Company (NASDAQ:MDCO), RECOTHROM Thrombin topical (Recombinant), PreveLeak and RAPLIXA (fibrin sealant), for up to $410M.
- Under the terms of the transaction, MDCO will receive an upfront payment of ~$175M (including inventory) and milestones of up to $235M.
- MDCO President and CFO Glenn Sblendorio says, "This deal will deliver a substantial amount of non-dilutive capital to the company so that we can continue to focus on core programs including our research and development for PCSK9 inhibition and continue to unlock shareholder value."
Aug. 10, 2015, 8:00 AM
- Mallinckrodt (NYSE:MNK) acquires privately-held West Chester, PA-based Therakos for $1.325B. The transaction is expected to close in Q3.
- Therakos develops autologous immune cell therapies delivered through extracorporeal photopheresis via its CELLEX and UVAR XTS systems. It employs extracorporeal (outside the body) photopheresis (certain components of the blood are separated and treated with a photosensitizing agent) to treat leukocyte-enriched blood for the palliative treatment of the skin manifestations of cutaneous T-cell lymphoma in patients that have not responded to other treatments. Specifically, the systems irradiate extracorporeally circulating blood with ultraviolet-A in the presence of the photoactive drug 8-methoxypsoralen.
- The deal is expected to add at least $0.10 per share to MNK's non-GAAP EPS in fiscal 2016 and increasingly accretive thereafter. Therakos' top line contribution will be $185M - 195M in fiscal 2015 with high single-digit growth going forward.
- MNK will fund the transaction with cash on hand plus debt.
Jun. 30, 2015, 10:08 AM| Jun. 30, 2015, 10:08 AM | 3 Comments
Apr. 17, 2015, 8:11 AM
Apr. 8, 2015, 11:47 AM
- Mylan (MYL +10.4%) submits a non-binding proposal to Perrigo (PRGO +27.6%) to acquire it for $205 per share in a cash-and-stock deal. If consummated, the combined company would generate over $15B in annual sales.
- Generic drug-related tickers: (LCI +3%)(AKRX +4.4%)(MNK +2.8%)(IPXL +2.3%)(TARO +2.3%)(TEVA +3.2%)
Mar. 5, 2015, 1:23 PM
- Analysts at Deutsche Bank and Oppenheimer both like the strategic fit of Ikaria with Manllinckrodt's (MNK +4.8%) blended business.
- Deutsche maintains its "Buy" recommendations and raises its 2015 EPS estimate to $7.74 from $7.46 and price target to $130 (+7.4% upside) based on a P/E of 15.7.
- Oppenheimer maintains its "Outperform" rating and raises its price target to $140 based on a P/E of 16.1.
- Previously: Mallinckrodt buys critical care firm for $2.3B (March 5)
Jul. 14, 2014, 8:07 AM
- The SEC declares the Form S-4 (joint proxy statement/prospectus) effective on July 11 regarding Mallinckrodt's (NYSE:MNK) acquisition of Questcor Pharmaceuticals (NASDAQ:QCOR). Both firms have scheduled shareholder meetings on August 14, 2014 for shareholders of record on July 9, 2014 to vote on the transaction.
May 12, 2014, 10:58 AM| May 12, 2014, 10:58 AM | 3 Comments
Feb. 11, 2014, 9:44 AM
- Mallinckrodt (MNK) is +8% and Cadence (CADX) +26% following news that Mallinckrodt has agreed to acquire Cadence for $1.3B.
- The deal will increase Mallinckrodt's specialty pharmaceutical offerings and its presence in hospitals, where Cadence's products are widely used. These include Ofirmev, an intravenous painkiller and fever reducer with estimated 2013 sales of $110.5M in 2013.
- Mallinckrodt expects the transaction to be immediately accretive to its 2014 earnings and significantly accretive to income a year later.
- Mallinckrodt plans to finance the transaction through a senior secured term loan facility.
Feb. 11, 2014, 7:08 AM
- Mallinckrodt (MNK) has agreed to acquire Cadence Pharmaceuticals (CADX) for $1.3B.
- Mallinckrodt is offering $14.00 a share, which represents a 32% premium to Cadence's trailing 30-trading-day volume weighted average price of $10.62.
- Cadence closed yesterday at $11.07; premarket trading has been halted. (PR)
Jan. 2, 2013, 6:41 PM
Questcor Pharmaceuticals (QCOR) acquires Canadian biotech firm BioVectra for C$50M. BioVectra is a contract manufacturing services provider to the global pharmaceutical and biotechnology industry and manufactures active pharmaceutical ingredients, chemical intermediates, and bioprocessing reagents. The acquisition is part of a larger strategy by QCOR to lock down a key ingredient maker for its only drug, Acthar, which isn't patent-protected, and will help to protect the drug's manufacturing process trade secrets.| Jan. 2, 2013, 6:41 PM | 6 Comments
Dec. 12, 2012, 12:47 PM
As a condition of Medicines Company's (MDCO +1.9%) acquisition of Incline Therapeutics, Cadence Pharmaceuticals (CADX +4.9%) has agreed to terminate its exclusive option to acquire Incline. Upon MDCO's closing of the deal, CADX will receive around $13M in termination fees and roughly $1.5M for its Incline stake as well as a pro-rated share of future milestone payments.| Dec. 12, 2012, 12:47 PM