Following the announcement of a final acquisition deal with Supernus Pharmaceuticals, the stock value of Sage Therapeutics, Inc. (NASDAQ: SAGE) increased significantly. Investors responded positively since the proposed purchase includes a tender offer that values Sage at up to $12.00 per share in cash.
Top 5 Tech Stocks to Buy in 2024
Don't let the chaos of rising interest rates, potential recession, tighter credit issues, higher oil prices, and incessant geopolitical issues chase you from the markets. Instead, just wait it out. With too much fear in the market, go bargain hunting with tech stocks. We have complied a report with the five of the best ways to profit within this industry.
"Top 5 AI Stocks to Buy in 2024."
Click here to sign up for our free report & newsletter, plus bonus offer "Elon Musk just Tiggered a BOOM in These Stocks"
Sponsored
The offer may have a total transaction value of about $795 million and consists of an upfront cash payment of $8.50 per share and a non-tradable contingent value right (CVR) of up to $3.50 per share, depending on future milestones.
Supernus’s Strategic Portfolio Expansion
This agreement is a significant step forward for Supernus Pharmaceuticals, which seeks to increase the variety of medications it offers for the central nervous system (CNS). Supernus is anticipated to see significant growth acceleration with the acquisition of Sage’s ZURZUVAE. As part of a prior collaboration with Biogen, Supernus will be entitled to 50% of the U.S. net revenue reported by Biogen for ZURZUVAE, enhancing its revenue stream post-acquisition.
Contingent Value Rights Linked to ZURZUVAE Milestones
The CVR component of the agreement offers additional upside to Sage shareholders. These rights will become payable if ZURZUVAE achieves pre-specified net sales and commercial benchmarks within designated timeframes. The total potential value of the CVR pool is estimated at $234 million, making the overall deal more lucrative and performance-based.
Groundbreaking Advancements in Brain Health
By concentrating on intricate and sometimes disregarded aspects of brain health, Sage Therapeutics has established a position for itself in the field of neurological innovation. For women suffering from postpartum depression, the creation of ZURZUVAE is a major advancement.
The acquisition aligns with Supernus’ strategy objective to expand its portfolio of CNS medicines by incorporating valuable and distinctive drugs. The agreement is anticipated to close in the third quarter of 2025, and has been unanimously approved by the boards of directors of both companies.
