- Radius Health Inc (NASDAQ:RDUS) will be acquired by Gurnet Point Capital and Patient Square Capital in a transaction valued at approximately $890 million, including the assumption of debt and assuming full payment of the CVR (Contingent Value Right).
- Gurnet Point and Patient Square will pay $10.00 per share in cash plus a CVR of $1.00 per share payable upon Tymlos (abaloparatide) net sales reaching $300 million by 2025.
- The FDA approved Tymlos for postmenopausal women with osteoporosis at high risk for fracture.
- Other products in Radius' pipeline include abaloparatide injection for men with osteoporosis, elacestrant (RAD1901) for hormone-receptor-positive breast cancer out-licensed to Menarini Group, and RAD011, a synthetic cannabidiol oral solution for neurological indications.
- Related: Menarini, Radius Health's Elacestrant Prolongs Progression-Free Survival In Breast Cancer.
- Including the CVR payment, Radius shareholders will receive up to $547 million in cash.
- "The acquisition of Radius by Gurnet Point and Patient Square provides our shareholders with attractive, immediate value at a compelling premium, in addition to the potential future upside of TYMLOS through the CVR," said Owen Hughes, Chairman of Radius Health.
- The transaction is expected to close in the third quarter of 2022.
- Price Action: RDUS shares are 14.2% at $10.13 during the market session on the last check Thursday.
- Photo by Capri23auto from Pixabay
