Pharma BD Deal Intelligence

Mallinckrodt plc / Ikaria, Inc.

2015 · Acquisition/Merger · $2.3B · Complete

WRONG BY 26 POINTS

INOmax kept generating hundreds of millions a year, but the ~$795M of Ikaria goodwill was wiped out in 2018 and Mallinckrodt itself went bankrupt twice — a product that survived inside a deal that didn't pay off

Full analysis, sources & comparables →

The coverage arc

Mar 05, 2015 FierceBiotech Bullish

Mallinckrodt's $2.3B Ikaria buy is a drug-device combination play centered on INOMAX, with the bundled service model providing a meaningful moat around an…

Mar 09, 2015 Seeking Alpha Bullish

The Ikaria deal adds a high-margin neonatal critical-care franchise that extends Mallinckrodt's hospital footprint and is immediately accretive by at least…

Sep 06, 2017 BioPharma Dive Bearish

A federal judge's invalidation of key INOMAX delivery-system patents reopened the iNO market to Praxair and other entrants, undercutting the moat thesis behind…

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

All 5 sources with sentiment breakdown →

Mallinckrodt acquired Ikaria from Madison Dearborn-led investor group for ~$2.3B, expanding into neonatal critical care and adding INOMAX (inhaled nitric oxide) drug-device platform. Closed April 16, 2015.

Did it work? Outcome assessment

INOmax kept generating hundreds of millions a year, but the ~$795M of Ikaria goodwill was wiped out in 2018 and Mallinckrodt itself went bankrupt twice — a product that survived inside a deal that didn't pay off

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

Key facts

Related deals — scored

DealYearValueOutcome
Mallinckrodt plc / Ikaria, Inc. (this deal)2015$2.3B37
Mallinckrodt plc / Cadence Pharmaceuticals, Inc.2014$1.4B50
Mallinckrodt plc / Therakos, Inc.2015$1.3B48
Mallinckrodt plc / Sucampo Pharmaceuticals, Inc.2017$1.2B19
Mallinckrodt plc / Questcor Pharmaceuticals, Inc.2014$5.6B18
Mallinckrodt plc / InfaCare Pharmaceutical Corporation2017$425M12
Pfizer Inc. / FoldRx Pharmaceuticals201099

Compare all 7 side-by-side →

See the full interactive analysis, sources & comparables →