Assertio Therapeutics Announces Closing of Gralise® Sale to Alvogen and Expects Full-Year 2019 Neurology Franchise Net Sales...
January 13 2020 - 7:50AM
Assertio Therapeutics, Inc. (“Assertio” or “The Company”) (NASDAQ:
ASRT), today announced the closing of its previously disclosed
agreement (“Agreement”) with Alvogen, a global privately held
pharmaceutical company, under which Alvogen will acquire and assume
all responsibilities associated with the product Gralise®
(gabapentin).
“We are pleased to finalize this agreement, a true win-win
transaction providing value for both companies,” said Arthur
Higgins, President and Chief Executive Officer of Assertio “This
allows us to focus on our growth products, Cambia® and Zipsor®,
further strengthens our balance sheet, and increases our
flexibility for future business development opportunities.”
Under the terms of the Agreement, Alvogen will pay Assertio a
total value of $127.5 million. This includes $75.0 million in cash
upon closing and the balance payable in the form of a royalty on
the first $70.0 million in Gralise® net sales. Both companies
expect the majority of the royalties to be paid in the first
calendar year. Assertio also entered into an amendment to its
senior secured credit agreement to facilitate the transactions
described above.
Additional details can be found in Assertio’s Form 8-Ks filed
with the Securities and Exchange Commission on December 12, 2019
and January 13, 2020.
The Company is also pleased to announce a strong finish to the
year with 2019 Neurology Franchise net sales expected to be above
the upper end of the company’s previously expressed guidance of
$102 million to $105 million.
About Gralise®
Gralise® is a is a prescription medicine used to treat pain
after shingles, or postherpetic neuralgia (PHN).
About Assertio Therapeutics, Inc. Assertio
Therapeutics is committed to providing responsible solutions to
advance patient care in the Company’s core areas of neurology,
orphan and specialty medicines. Assertio currently markets two
FDA-approved products and continues to identify, license and
develop new products that offer enhanced options for patients that
may be underserved by existing therapies. To learn more about
Assertio, visit www.assertiotx.com.
About Alvogen
Alvogen is a global, privately owned
pharmaceutical company focused on developing, manufacturing and
selling generic, brand, over-the-counter medicines (OTC) and
biosimilar products for patients around the world. The
company has commercial operations in 35 countries with 2,800
employees and operates four manufacturing and development hubs in
the U.S., Romania, Korea and Taiwan. North America is Alvogen’s
single largest market and other key markets include: South Korea,
Russia, Taiwan, Romania, Hungary, Ukraine, Japan and China. Learn
more about Alvogen, visit www.alvogen.com.
"Safe Harbor" Statement Under the Private Securities
Litigation Reform Act of 1995 This news release contains
forward-looking statements. These statements involve inherent risks
and uncertainties that could cause actual results, including for
2019, to differ materially from those estimated, projected or
anticipated, including expectations regarding royalties to be
received based on sales of NUCYNTA® and
NUCYNTA® ER, risks related to regulatory approval
and clinical development of long-acting cosyntropin, expectations
regarding potential business opportunities, and other risks
outlined in the Company's public filings with the Securities and
Exchange Commission, including the Company's most recent annual
report on Form 10-K and subsequent Quarterly Reports on Form 10-Q.
All information provided in this news release speaks as of the date
hereof. Except as otherwise required by law, the Company undertakes
no obligation to update or revise its forward-looking
statements.
Investor and Media Contact: Dan Peisert Senior
Vice President and Chief Financial
Officerdpeisert@assertiotx.comSource: Assertio Therapeutics,
Inc.
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