Lundbeck buys Longboard Pharmaceuticals for $2.6B

Lundbeck has announced its intention to acquire Longboard Pharmaceuticals in order to enhance its pipeline in neuroscience. This $2.6 billion acquisition will integrate Longboard's innovative therapies for rare neurological disorders into Lundbeck's offerings, with a particular emphasis on Developmental and Epileptic Encephalopathies (DEEs). Longboard's leading medication, bexicaserin, is currently in the advanced stages of clinical trials for the treatment of rare epilepsy conditions such as Dravet syndrome and Lennox-Gastaut syndrome.

The acquisition agreement includes a cash transaction of $60 per share for Longboard's shareholders, representing a substantial premium over recent stock values. The boards of both companies have approved the transaction, which is anticipated to be finalized by the end of 2024, subject to regulatory clearances and other concluding procedures.

Bexicaserin has demonstrated encouraging anti-seizure effects in initial studies and employs a novel mechanism that targets 5-HT2C receptors. The addition of bexicaserin to Lundbeck's product lineup significantly enhances the company's capabilities in addressing neuro-rare diseases.