Actelion's top dollar deal leaves doubts, and little on the horizon

Date July 14, 2008

Actelion was probably hoping for a slightly more effusive reaction to its heavily trailed SFr3.3bn ($3.2bn) deal with GlaxoSmithKline for insomnia drug almorexant announced today, rather than the meagre 4% advance its share price notched up.

Despite the deal delivering exactly what the company was looking for, in terms of a primary care specialist partner, profits and cost sharing, and help setting up a GP-focused sales force, the market was clearly unimpressed. An upfront fee of just SFr150m was probably the first disappointment, considering almorexant is a phase III product addressing a huge market, and at the end of the day, the terms of the deal highlighted the risky nature of the product.

This content is written, edited and published by EP Vantage and is distributed by Evaluate Ltd. All queries regarding the content should be directed to: news@epvantage.com

EP Vantage is a unique, forward-looking, news analysis service tailored to the needs of pharma and finance professionals. EP Vantage focuses on the events that will define the future of companies, products and therapy areas, with detailed financial analysis of events in real-time, including regulatory decisions, product approvals, licensing deals, patent decisions, M&A.

Drawing on Evaluate, an industry-leading database of actual and forecast product sales and financials, EP Vantage gives readers the insight to make value-enhancing decisions.

EP Vantage SM ©2018 EP Vantage Ltd