Pfizer pays $5.2 billion for Anacor and its eczema treatment
Pharmaceutical giant Pfizer is adding an eczema treatment to its portfolio with the $5.2 billion acquisition of Anacor Pharmaceuticals.
Pfizer (PFE) said Monday that it would pay cash for Anacor, whose principal product is an anti-inflammatory topical treatment called crisaborole. Anacor has requested permission from the Food and Drug Administration to sell the treatment after navigating the three-stage drug testing process that's designed to ensure safety and efficacy.
The treatment for eczema — a skin condition characterized by an itchy red rash that affects more than 30 million Americans, according to the National Eczema Association — could top $2 billion in annual sales at its peak, Pfizer estimated.
“We believe the acquisition of Anacor represents an attractive opportunity to address a significant unmet medical need for a large patient population with mild-to-moderate atopic dermatitis, which currently has few safe topical treatments available,” said Albert Bourla, group president of Pfizer’s division for vaccines, oncology and consumer health care, in a statement. "Crisaborole ... has the potential to be an important first-line treatment option."
The pharmaceutical company will pay $99.25 per share for Anacor, whose shares (ANAC) soared 57% to close at $100.67. Pfizer shares edged up 0.6% to close at $33.38.
The FDA began reviewing crisaborole in March and is expected to complete the process in January.
Pfizer said the deal would not affect its 2016 fiscal guidance, though it will be "slightly dilutive" to its earnings per share beginning in 2017. The acquisition is expected to close in the third quarter.
Anacor also owns the rights to a topical treatment for toenail fungus called Kerydin, which is distributed and commercialized by Sandoz.
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