Jazz acquires GW Pharmaceuticals in $7.2 billion deal
pharmafile | February 4, 2021 | News story | | cannabinoid, jazz pharmaceuticals
Jazz Pharmaceuticals has acquired GW Pharmaceuticals for over $7 billion, with the transition expected to close in the second quarter of this year.
Jazz is buying the British company for $220 per American Depositary Share (ADS), in the form of $200.00 in cash and $20.00 in Jazz ordinary shares, for a total consideration of $7.2 billion, or $6.7 billion net of GW cash.
GW is a global leader in discovering, developing, manufacturing and commercialising novel, regulatory approved therapeutics from its proprietary cannabinoid product platform to address a broad range of diseases. The company’s lead product, Epidiolex (cannabidiol) oral solution, is approved in patients one-year and older for the treatment of seizures associated with Lennox-Gastaut Syndrome (LGS), Dravet Syndrome, and Tuberous Sclerosis Complex (TSC), all of which are rare diseases characterised by severe early-onset epilepsy. Epidiolex was the first plant-derived cannabinoid medicine ever approved by the FDA.
The product has also been approved by the EMA, under the tradename Epidyolex, in patients two years of age and older for the adjunctive treatment of seizures associated with LGS and Dravet syndrome in conjunction with clobazam, and is under EMA review for the treatment of seizures associated with TSC.
Bruce Cozadd, Chairman and CEO of Jazz Pharmaceuticals, commented: “Jazz is proud of our leadership position in sleep medicines and rapidly growing oncology business. We are excited to add GW’s industry-leading cannabinoid platform, innovative pipeline and products, which will strengthen and broaden our neuroscience portfolio, further diversify our revenue and drive sustainable, long-term value creation opportunities.
“We are joining two teams that share a passion for, and track record of, developing differentiated therapies that advance science and transform the lives of patients. This will help facilitate a successful integration and bring added capabilities to Jazz. Given the strength of our balance sheet and the meaningful financial drivers of the transaction, we are confident in the value we can deliver to both companies’ shareholders and patients.”
Justin Gover, CEO of GW Pharmaceuticals, said: “Over the last two decades, GW has built an unparalleled global leadership position in cannabinoid science, including the successful launch of Epidiolex, a breakthrough product within the field of epilepsy, and a diverse and robust neuroscience pipeline. We believe that Jazz is an ideal growth partner that is committed to supporting our commercial efforts, as well as ongoing clinical and research programmes.
“We have a shared vision of developing and commercialising innovative medicines that address significant unmet needs in neuroscience and an approach of putting patients first. Together, we will have an opportunity to reach and impact more patients through a broader portfolio of neuroscience-focused therapies than ever before.”
Darcy Jimenez
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