Collegium Announces Closing of the Nucynta Franchise Acquisition
February 13 2020 - 4:01PM
Collegium Pharmaceutical, Inc. (Nasdaq: COLL), a specialty
pharmaceutical company committed to being the leader in responsible
pain management, announced today the closing of its previously
announced acquisition of the Nucynta franchise from Assertio
Therapeutics, Inc. Jefferies LLC acted as financial advisor to
Collegium on the transaction, and Pepper Hamilton LLP served as
legal counsel.
In support of the Nucynta acquisition, Collegium also announced
today the funding of its previously announced $200.0 million senior
secured term loan from BioPharma Credit PLC (“loan”) and the
closing of its previously announced underwritten public offering of
$143.75 million aggregate principal amount of 2.625% convertible
senior notes due 2026 (“notes”), which includes the full exercise
by the underwriter of an option to purchase an additional $18.75
million in aggregate principal amount of notes to cover
over-allotments. Jefferies LLC acted as the sole book-running
manager for the offering. The aggregate proceeds of the loan
and the notes were used, together with cash on hand, to pay the
purchase price for the Nucynta acquisition.
“We are excited to close the Nucynta acquisition, a financially
transformative transaction for Collegium,” said Joe Ciaffoni,
President and Chief Executive Officer of Collegium. “Looking ahead,
we expect this transaction will significantly grow EBITDA and
operating cash flows, and the financing structure will enable us to
pursue future business development transactions that will diversify
our portfolio.”
2019 Year-End Earnings Call
Collegium announced today that the Company will host a
conference call and live audio webcast on Thursday, February 27,
2020 at 4:30 p.m. Eastern Time to discuss financial results and
provide a corporate update.
To access the conference call, please dial (888) 698-6931 (U.S.)
or (805) 905-2993 (International) and refer to Conference ID:
829-8360. An audio webcast will be accessible from the Investors
section of the Company’s website: www.collegiumpharma.com. The
webcast will be available for replay on the Company’s website
approximately two hours after the event.
About Collegium Pharmaceutical, Inc.
Collegium is a specialty pharmaceutical company committed to
being the leader in responsible pain management. Collegium’s
headquarters are located in Stoughton, Massachusetts.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of The Private Securities Litigation Reform Act of
1995. We may, in some cases, use terms such as "predicts,"
"forecasts," "believes," "potential," "proposed," "continue,"
"estimates," "anticipates," "expects," "plans," "intends," "may,"
"could," "might," "should" or other words that convey uncertainty
of future events or outcomes to identify these forward-looking
statements. Examples of forward-looking statements contained in
this press release include, among others, statements regarding
financial guidance for Xtampza ER and Nucynta Franchise revenues,
total operating expenses, current and future market opportunities
for our products and our assumptions related thereto. Such
statements are subject to numerous important factors, risks and
uncertainties that may cause actual events or results, performance,
or achievements to differ materially from the company's
current expectations. Management's expectations and, therefore, any
forward-looking statements in this press release could also be
affected by risks and uncertainties relating to a number of other
factors, including our expectations related to the potential impact
of the Nucynta acquisition on our future operating results; our
ability to commercialize and grow sales of our products; our
ability to manage our relationships with licensors; the success of
competing products that are or become available; our ability to
obtain and maintain regulatory approval of our products and any
product candidates, and any related restrictions, limitations,
and/or warnings in the label of an approved product; the size of
the markets for our products and product candidates, and our
ability to service those markets; our ability to obtain
reimbursement and third-party payor contracts for our products; the
rate and degree of market acceptance of our products and product
candidates; the costs of commercialization activities, including
marketing, sales and distribution; changing market conditions for
our products; the outcome of any patent infringement,
opioid-related or other litigation that may be brought by or
against us, including litigation with Purdue Pharma, L.P. and Teva
Pharmaceuticals USA, Inc.; the outcome of any governmental
investigation related to the manufacture, marketing and sale of
opioid medications; our ability to secure adequate supplies of
active pharmaceutical ingredient for each of our products and
manufacture adequate supplies of commercially saleable inventory;
our ability to obtain funding for our operations and business
development; regulatory developments in the U.S.; our expectations
regarding our ability to obtain and maintain sufficient
intellectual property protection for our products; our ability to
comply with stringent U.S. and foreign government regulation in the
manufacture of pharmaceutical products, including U.S. Drug
Enforcement Agency, or DEA, compliance; our customer concentration;
and the accuracy of our estimates regarding expenses, revenue,
capital requirements and need for additional financing. These and
other risks are described under the heading "Risk Factors" in our
Quarterly Report on Form 10-Q for the quarter ended September 30,
2019 and other filings with the SEC, and in the prospectus
supplement related to the offering filed with the SEC on February
11, 2020. Any forward-looking statements that we make in this press
release speak only as of the date of this press release. We assume
no obligation to update our forward-looking statements whether as a
result of new information, future events or otherwise, after the
date of this press release.
Contact: Alex Dasalla adasalla@collegiumpharma.com
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