Lundbeck buys Longboard Pharmaceuticals for $2.6 billion

Lundbeck, a Danish pharmaceutical company, has announced a significant acquisition of Longboard Pharmaceuticals, agreeing to purchase all outstanding shares in a deal valued at $2.6 billion. The transaction is anticipated to be completed by the end of the year. This acquisition will give Lundbeck control over Longboard’s portfolio of drug candidates, particularly targeting neurological and rare diseases.

The primary asset in Longboard’s pipeline is bexicaserin, which is in advanced stages of development for treating developmental and epileptic encephalopathies (DEEs). These are severe types of epilepsy that typically begin in early childhood and affect over 220,000 individuals in the United States. DEEs are characterized by frequent and severe seizures, often accompanied by developmental delays and other symptoms.

Charl van Zyl, the President and CEO of Lundbeck, commented on the acquisition, emphasizing its transformative potential for the company. He explained that the transaction would strengthen Lundbeck’s focus on addressing rare neurological disorders, particularly noting the limited treatment options currently available for such conditions. Bexicaserin, he added, represents a vital advancement in meeting the needs of patients with severe epilepsies.

Longboard's acquisition will notably expand Lundbeck’s existing drug development initiatives, which are dedicated to treating various brain diseases, including migraines and Parkinson’s disease. Notably, Longboard’s drug candidates are designed to target G protein-coupled receptors (GPCRs), a highly successful class of drug targets within the human genome.

In September, Longboard commenced a phase 3 clinical trial to evaluate bexicaserin for treating seizures associated with Dravet syndrome, a rare form of epilepsy. According to Cleveland Clinic, Dravet syndrome typically begins in the first year of a child's life, leading to frequent and varied seizures along with developmental delays and other symptoms. Although medications can help mitigate the severity and frequency of seizures, effective treatment options remain limited.

Bexicaserin is an oral drug candidate that employs a next-generation super-agonist mechanism, specifically targeting the 5-hydroxytryptamine (5-HT) 2C receptors, a subset of serotonin receptors associated with epilepsy. This selective targeting means that bexicaserin does not affect other subtypes of 5-HT receptors, such as 5-HT 2A and 5-HT 2B. Preclinical and clinical studies have demonstrated the drug’s anti-seizure effects and its potential to be best-in-class for conditions like Dravet syndrome, Lennox-Gastaut syndrome, and other DEEs.

The potential for bexicaserin is significant, with expectations for global peak sales reaching up to $2 billion, indicating its blockbuster potential within this high-need area. Kevin R. Lind, President and CEO of Longboard, remarked on the acquisition, highlighting that Longboard was established to improve the lives of those suffering from severe neurological conditions. He expressed confidence that Lundbeck’s extensive capabilities would accelerate their mission to provide better treatment access and equity for underserved DEE patients with significant unmet medical needs.

In summary, Lundbeck’s acquisition of Longboard Pharmaceuticals represents a strategic move to enhance its focus on rare neurological diseases, particularly through the development and potential commercialization of bexicaserin. This acquisition has the potential to substantially impact the treatment landscape for severe epilepsies, offering hope to many patients and families affected by these challenging conditions.