Pharma BD Deal Intelligence

Salix Pharmaceuticals / Santarus Inc.

2013 · Acquisition/Merger · $2.6B · Complete

WRONG BY 59 POINTS
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The coverage arc

Nov 07, 2013 Genetic Engineering News Bullish

The combined entity will be a GI-focused powerhouse with 22 marketed products, pro-forma revenues of $1.348B and adjusted EBITDA of $537M.

Nov 12, 2013 Seeking Alpha Neutral

Execution risk centers on marketing Glumetza and Ruconest outside the core GI call point; integration of Santarus's primary-care reps will be the swing factor.

Nov 12, 2013 The Motley Fool Bullish

A value-creating deal that diversifies Salix's revenue base; Uceris alone with $400-700M peak potential could justify approximately two-thirds of the purchase…

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

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Salix acquired Santarus at $32/share cash (~$2.6B; 36% premium); expanded Salix's GI portfolio and added primary care/diabetes assets; financed via $800M cash + $1.95B Jefferies committed debt.

Did it work? Outcome assessment

Strategic verdict
Partially Achieved
Financial impact
Neutral
Pipeline outcome
Mixed

Key facts

Related deals — scored

DealYearValueOutcome
Salix Pharmaceuticals / Santarus Inc. (this deal)2013$2.6B29
Salix Pharmaceuticals / Oceana Therapeutics, Inc.2011$300M29
UCB SA / Celltech Group plc2004$2.7B92
Johnson & Johnson / Centocor Inc.1999$4.9B92
Takeda Pharmaceutical Company Ltd. / Millennium Pharmaceuticals2003$8.8B82
Bristol-Myers Squibb Company / Celgene Corporation2019$74.0B77
Biogen Idec Inc. / Elan Corporation plc (Tysabri rights)2013$3.2B77

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