Amneal's $83M Saol Acquisition Deal Expands Its Neurology Presence Into Spasticity

Amneal Pharmaceuticals Inc AMRX has agreed to acquire Saol's Baclofen franchise, including Lioresal, Lyvispah, and a pipeline product under development for $83.5 million in cash. 

• The acquisition expands Amneal's commercial institutional and specialty portfolio in neurology while adding commercial infrastructure in advance of its entry into the biosimilar institutional market. 
• The transaction is expected to be accretive to Amneal's adjusted EBITDA and adjusted EPS results for 2022.
• Lioresal is an intrathecal baclofen product delivered through an implantable intrathecal pump to manage severe spasticity of cerebral or spinal origin for the institutional market. 
• It has approximately $25 million in annual net revenue. 
• Lyvispah is a baclofen oral granules specialty product recently approved by the FDA for spasticity. 
• The product will launch in 2022. 
• Together, Amneal expects these two products to generate between $40 and $50 million in combined annual net revenues by 2025.
• At the end of Q3, Amneal held cash and cash equivalents of $302.6 million.
• Price Action: AMRX shares are up 4.29% at $5.10 during the premarket session on the last check Wednesday.