Jazz spending spree has ups and downs


Jazz Pharmaceuticals has agreed with Aerial Bio Pharma to acquire the rights to ADX-N05, a drug designed to treat narcolepsy. The agreement sees an initial payment of $125 million (£76 million) in cash, plus up to $270 million dependent on development and revenue milestones. Aerial announced positive results for phase IIb trials of ADX-N05 and had been publicly seeking a buyer to oversee the next phase of the drug’s development.

However, Jazz’s proposed takeover of Italian drugmaker Gentium appears to be in jeopardy. Jazz had agreed with Gentium's board to acquire a controlling stake in the company in a deal that was initially valued at around $1 billion. The sale has been rejected by the company’s shareholders, who are now taking legal action against the board of Gentium on the grounds that they have undervalued the company and filed misleading and false documents with the Securities and Exchange Comission. In October 2013, Gentium received authorisation from the European commission to market DNA-based drug Defitelio (defibrotide), for treating severe hepatic veno-occlusive disease in patients undergoing haematopoietic stem cell transplants.

Both of these proposed transactions have increased ongoing speculation that Jazz is itself likely to become a target for further mergers and acquisitions activity, as it becomes more attractive to prospective buyers.


Related Content

Following her passion

11 January 2013 Research

news image

Veronique Gouverneur tells Marie Cote about fabulous fluorine and her next challenge

What are you afraid of?

29 October 2013 Feature

news image

The public’s mistrust of ‘chemicals’ will take great efforts to repair. Katharine Sanderson looks at the ‘c’-word

Most Read

Perovskite solar cells show hydrogen production promise

26 September 2014 Research

news image

Highly efficient solar cells and catalysts made from cheap, common materials use sunlight to split water

Big name coffee chains drawn into acrylamide fight

23 September 2014 News and Analysis

news image

Starbucks and other coffee chains are being sued in California by a non-profit that wants carcinogen labels slapped on their ...

Most Commented

Perovskite solar cells show hydrogen production promise

26 September 2014 Research

news image

Highly efficient solar cells and catalysts made from cheap, common materials use sunlight to split water

First interstellar sighting of a branched alkyl molecule

25 September 2014 Research

news image

Discovery shows that stellar nurseries could hold amino acids too that might have been the spark for life on Earth