Jazz Pharmaceuticals plc revealed on 3 February that it is paying a big premium to add the high-growth rare epilepsy drug Epidiolex (cannabidiol) to its commercial portfolio and additional cannabinoid therapeutics to its pipeline with the $7.2bn purchase of GW Pharmaceuticals plc. The cash and stock transaction values GW Pharma at $220 per American depository share (ADS), which is 50% more than the London-based firm’s 2 February closing ADS price of $146.25.
Jazz Wades Into Cannabinoid Weeds With $7.2bn GW Buy
Epilepsy Drug Epidiolex Adds To Sleep, Oncology Franchises
Priced at a 50% premium to GW’s value, the deal will reduce the percentage of Jazz’s drug sales coming from Xyrem, provide double-digit revenue growth and expand the R&D pipeline to 19 programs.
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