Pfizer (US) has announced that it has entered into an agreement to acquire US skin care specialist Anacor in a deal worth approximately USD5.2 billion, which will give it access to the latter's highly promising investigational eczema drug.
Implications | Anacor's lead asset is its differentiated non-steroidal topical PDE4 inhibitor, crisaborole, which is currently being reviewed by the US FDA for the treatment of mild-to-moderate atopic dermatitis, and which could potentially achieve peak annual sales of USD2.0 billion. |
Outlook | If approved, crisaborole could potentially find itself up against Regeneron (US) and Sanofi (France)'s IL-4/IL-13 inhibitor dupilumab, which is currently undergoing late-stage testing for atopic dermatitis, and which is expected to be submitted for approval in the United States later this year. |
The deal, which has been unanimously approved by the boards of directors of both companies, corresponds to Pfizer buying all of Anacor's outstanding shares for a cash payment of USD99.25 per share, which represents a 55% premium on the USD64.03 closing price last Friday (13 May).
Anacor's lead asset is its differentiated non-steroidal topical PDE4 inhibitor, crisaborole, which is currently being reviewed by the US FDA for the treatment of mild-to-moderate atopic dermatitis (i.e. eczema) in children and adults, with a review deadline of 7 January 2017. Pfizer noted that, in both of its Phase III pivotal studies, crisaborole had achieved statistically significant results on all primary and secondary endpoints. According to Pfizer, if approved, crisaborole's peak annual sales could potentially reach or exceed USD2.0 billion.
Albert Bourla, group president of Pfizer's global innovative pharma and global vaccines, oncology and consumer healthcare businesses, commented: "We believe the acquisition of Anacor represents an attractive opportunity to address a significant unmet medical need for a large patient population with mild-to-moderate atopic dermatitis, which currently has few safe topical treatments available." Bourla added: "Crisaborole is a differentiated asset with compelling clinical data that, if approved, has the potential to be an important first-line treatment option for these patients and the physicians who treat them."
Anacor also holds the rights to the onychomycosis treatment, Kerydin (tavaborole), which is distributed and marketed in the US by Novartis (Switzerland)'s Sandoz unit. In addition to crisaborole and Kerydin, the deal would give Pfizer access to three investigational compounds that have been out-licensed by Anacor for further development, and to Anacor's pipeline of topical and systemic boron-based compounds which are in early stages of research and development.
Pfizer's proposed acquisition, which is subject to customary closing conditions, is expected to be completed in the third quarter of 2016. Pfizer is not expecting the transaction to affect its current financial guidance for the end of the year.
Outlook and implications
For Pfizer, the acquisition of Anacor fits in with its existing innovative business, which includes the anti-inflammatory drug Enbrel (etanercept) and its Janus kinase (JAK) inhibitor Xeljanz (tofacitinib), which is indicated for treating rheumatoid arthritis.
If approved, crisaborole could potentially find itself up against Regeneron (US) and Sanofi (France)'s IL-4/IL-13 inhibitor dupilumab, which is currently undergoing late-stage testing for atopic dermatitis, and which is expected to be submitted for approval in the US later this year (see France: 29 April 2016: Sanofi reports 0.7% y/y rise in aggregate group sales to USD9.72 bil., considers USD9.3-bil. bid for Medivation). Another potential competitor is Celgene (US), which is conducting a mid-stage trial for Otezla (apremilast) – previously approved for arthritis and psoriasis – for the treatment of eczema.
Assuming the acquisition goes ahead as planned, this would be Pfizer's first major purchase since its aborted USD160-billion takeover of Allergan (see United States: 7 April 2016: Pfizer, Allergan assess options in aftermath of collapsed merger). However, given the comparatively small size of the Anacor deal, Pfizer is likely to be on the lookout for further acquisition opportunities.