2025-10-22 12:00Acquisition Rationale - The acquisition augments revenue growth and diversifies Alkermes' commercial portfolio with LUMRYZ[22] - It accelerates Alkermes' entry into the sleep medicine market and provides a foundation for alixorexton's potential launch[22] - The acquisition is expected to be immediately accretive and enhance profitability upon closing[22] - The combined organization will be positioned to accelerate innovation in sleep and neurological disorder treatments[22] - The acquisition drives operational efficiencies and synergies as Alkermes prepares for alixorexton's potential launch[22] Avadel Pharmaceuticals Highlights - Avadel successfully developed and obtained regulatory approval for LUMRYZ for narcolepsy[23] - Since launch, LUMRYZ has generated over $300 million in net revenues (as of June 30, 2025)[23] - Avadel achieved profitability and positive cash flow in Q2 2025[23] - Approximately 3,100 patients are on LUMRYZ therapy (as of June 30, 2025)[26] - The company estimates there are over 50,000 oxybate-eligible patients with narcolepsy in the U S[26] - LUMRYZ is expected to generate net revenues in the range of $265 - $275 million in 2025[26] Transaction Terms - Alkermes will acquire Avadel in an all-cash transaction for $18 50 per share[33] - A Contingent Value Right (CVR) offers a potential additional payment of $1 50 per share tied to FDA approval of LUMRYZ in idiopathic hypersomnia by the end of 2028[33] - The total consideration is up to $20 00 per share, or a transaction value of up to $2 1 billion[33]