Endo International is acquiring all of the outstanding shares of New York biopharma, BioSpecifics Technologies, in a deal that values the latter at $540 million.
Endo has had a strategic relationship with BioSpecifics since 2004. Under the terms of that relationship, BioSpecifics receives a royalty stream from Endo related to Endo’s collagenase-based therapies.
This currently includes Xiaflex, marketed by Endo Pharmaceuticals, for the treatment of Dupuytren’s contracture and Peyronie’s disease, and Qwo, the first FDA-approved injectable treatment for cellulite, which is expected to be launched by Endo Aesthetics in Spring 2021.
“Acquiring BioSpecifics is consistent with our strategic priority to expand and enhance our portfolio through additional investment in the significant long-term growth potential of both Xiaflex and Qwo – two of our most durable and differentiated products,” said Blaise Coleman, President and CEO of Endo.
“This transaction will also immediately enhance Endo’s adjusted EBITDA and create significant value for shareholders of both organizations.”
Endo, through a wholly owned subsidiary, will commence an all-cash tender offer to acquire 100% of the outstanding common stock of BioSpecifics for $88.50 per share. The transaction is expected to close in late 2020.