Alkermes Sells Athlone Facility to Novo Nordisk

Dublin, May 2, 2024 – Alkermes plc, a global biopharmaceutical company listed on Nasdaq (ALKS), has finalized the sale of its development and manufacturing facility in Athlone, Ireland, to Novo Nordisk. This sale includes the facility and associated assets for a total of approximately $91 million in cash.

Richard Pops, the CEO of Alkermes, emphasized the strategic importance of this sale, stating, "The completion of this transaction marks a key milestone in our long-term strategy to enhance operational efficiency and better align our infrastructure with our business needs." Pops also expressed gratitude to the Athlone team for their dedication to producing vital medications for patients worldwide.

Following the transaction, Alkermes and Novo Nordisk have agreed to enter into subcontracting arrangements. This agreement allows for the continuation of certain development and manufacturing activities at the Athlone facility for a specified period, potentially lasting until the end of 2025. During this time, the transaction is expected to be cost-neutral for Alkermes. Afterward, the company anticipates significant operational cost benefits, contributing to enhanced profitability. Importantly, Alkermes will continue to retain all royalty revenues from products currently manufactured at the Athlone facility.

Alkermes will maintain its production of proprietary commercial products, including VIVITROL®, ARISTADA®, ARISTADA INITIO®, and LYBALVI®, at its manufacturing plant in Wilmington, Ohio.

Alkermes plc is dedicated to developing innovative medicines in neuroscience. Its product portfolio includes treatments for alcohol and opioid dependence, schizophrenia, and bipolar I disorder. The company is also advancing a pipeline of candidates for various neurological conditions, such as narcolepsy. Headquartered in Ireland, Alkermes operates a corporate office and research facility in Massachusetts, along with a manufacturing facility in Ohio.

Alkermes' proprietary trademarks include VIVITROL®, ARISTADA®, ARISTADA INITIO®, and LYBALVI®. These trademarks are registered to Alkermes, Inc. and Alkermes Pharma Ireland Limited, and used under license by Alkermes, Inc.

In summary, the sale of Alkermes' Athlone facility to Novo Nordisk is a strategic move aimed at streamlining operations and enhancing profitability. Through ongoing subcontracting arrangements, Alkermes will continue certain activities at the facility, while looking forward to future operational efficiencies.

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