Pfizer to acquire Anacor Pharmaceuticals for $5.2 bn

Drug major Pfizer Inc said Monday it will acquire biopharmaceutical firm Anacor Pharmaceuticals for around $5.2 billion in an all-cash deal.

Pfizer and Anacor Pharmaceuticals have entered into a definitive merger agreement under which Pfizer will acquire Anacor for $99.25 per Anacor share, in cash, for a total transaction value, net of cash, of approximately $5.2 billion, Pfizer Inc said in a statement.

The Boards of Directors of both companies have unanimously approved the transaction, which also assumes the conversion of Anacor's outstanding convertible notes, it added.

Anacor's flagship asset, crisaborole, is currently under review by the USFDA for the treatment of mild-to-moderate atopic dermatitis, commonly referred to as eczema.

Group President of Pfizer Global Innovative Pharma and Global Vaccines, Oncology and Consumer Healthcare Businesses Albert Bourla said, "We believe the acquisition of Anacor represents an attractive opportunity to address a significant unmet medical need for a large patient population with mild-to-moderate atopic dermatitis, which currently has few safe topical treatments available."

Crisaborole is a differentiated asset with compelling clinical data that, if approved, has the potential to be an important first-line treatment option for these patients and the physicians who treat them, Bourla added.

Anacor Pharmaceuticals Chairman and Chief Executive Officer Paul L Berns said the deal will deliver significant value to the company's shareholders.

"We have a deep respect for Pfizer, and it is clear that they share our commitment to addressing the significant unmet medical needs in inflammatory disease... We are confident that Pfizer will help accelerate Anacor's important mission given the strength of its global platform and resources," he added.

In March 2016, the FDA accepted to review Anacor's New Drug Application seeking approval of crisaborole for the potential treatment of mild-to-moderate atopic dermatitis in children and adults, the company said.

The Prescription Drug User Fee Act (PDUFA) goal date for the completion of the FDA's review is January 7, 2017. If approved, Pfizer believes peak year sales for crisaborole have the potential to reach or exceed $2 billion, it added.

Pfizer said it anticipates to finance the transaction through existing cash and it does not expect the transaction to impact its current 2016 financial guidance.