Pharma BD Deal Intelligence

Allergan plc / Tobira Therapeutics, Inc.

2016 · Acquisition/Merger · $1.7B · Complete

WRONG BY 27 POINTS

Allergan paid ~$1.7B for a NASH drug that had already flunked its Phase IIb primary endpoint two months earlier — and it went on to fail Phase III too, generating zero revenue.

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The coverage arc

Sep 20, 2016 Allergan/Tobira 8-K Exhibit 99.2 Joint Press Release Bullish

Allergan to acquire Tobira, adding global rights to cenicriviroc and evogliptin and positioning the company in a leading R&D position in NASH, expected to…

Sep 21, 2016 TheStreet Bullish

Controversy over Allergan's 500% premium for Tobira looks overdone; Allergan likely has access to upcoming Phase IIb NASH data the Street had not seen, and the…

Apr 13, 2023 Clinical Gastroenterology and Hepatology Bearish

AURORA Phase 3 confirmed cenicriviroc lacked efficacy on fibrosis improvement vs placebo at 12 months, ending the dual CCR2/CCR5 thesis in NASH.

Source summaries from our enrichment pipeline; follow links for originals.

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Allergan agreed to acquire Tobira Therapeutics for $28.35/share cash upfront plus up to $49.84/share in CVRs tied to development, regulatory, and commercial milestones (~$1.695B total potential). Adds Phase 3-ready cenicriviroc (dual CCR2/CCR5 antagonist) and evogliptin to Allergan's GI/NASH pipeline. Tender offer expired October 31, 2016. Cenicriviroc later failed Phase 3 AURORA in 2020.

Did it work? Outcome assessment

Allergan paid ~$1.7B for a NASH drug that had already flunked its Phase IIb primary endpoint two months earlier — and it went on to fail Phase III too, generating zero revenue.

Strategic verdict
Failed to Achieve
Financial impact
Impaired/Written Down
Pipeline outcome
Assets Terminated

Key facts

Related deals — scored

DealYearValueOutcome
Allergan plc / Tobira Therapeutics, Inc. (this deal)2016$1.7B17
Allergan plc / Merck & Co., Inc. (CGRP receptor antagonist program)2015$250M91
Allergan plc / SkinMedica, Inc.2012$375M55
Allergan plc / Inamed Corporation2005$3.2B50
Allergan plc / Oculeve, Inc.2015$250M33
Allergan plc / Zeltiq Aesthetics, Inc.2017$2.5B32
Allergan plc / Kythera Biopharmaceuticals, Inc.2015$2.1B23

Compare all 7 side-by-side →

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