Acorda Therapeutics To Acquire Privately Held Civitas Therapeutics

(RTTNews) - Acorda Therapeutics, Inc. (ACOR) announced that it has agreed to acquire Civitas Therapeutics, a privately-held biopharmaceutical company, for $525 million in cash. The acquisition is expected to be completed in the fourth quarter of 2014.

Acorda said it will obtain worldwide rights to CVT-301, a Phase 3 treatment candidate for OFF episodes of Parkinson's disease or PD. The acquisition also includes rights to Civitas' proprietary ARCUS pulmonary delivery technology and manufacturing facility with commercial-scale capabilities based in Chelsea, MA.

According to the company, $35 million of the total consideration will be used to pay costs related to a Civitas change-in-control.

CVT-301 is a system comprised of a dry powder L-dopa formulation that is contained within blister-packed capsules and administered via a proprietary, pocket-size, reusable inhaler. CVT-301 can provide rapid delivery of L-dopa in conjunction with a patient's optimized oral L-dopa regimen.

The pivotal Phase 3 study for treatment of OFF episodes in people with PD is expected to begin enrolling in early 2015 and if successful, a filing for regulatory approval in is expected by the end of 2016, the company said.