Intra-Cellular hits record high on $14.6 billion buyout from J&J

Intra-Cellular Therapies

13/01/2025 17:02

(Updates)
    ** Shares of Intra-Cellular Therapies  ITCI.O  rise as much
as 35% to a record high of $128, after Johnson & Johnson  JNJ.N 
agrees to buy the drugmaker for about $14.6 bln 
    ** JNJ said it will buy all of ITCI's shares for $132 each,
representing a 39% premium to its Friday closing price
    ** Deal gives J&J access to ITCI's oral drug Caplyta,
approved for schizophrenia and bipolar disorder-related
depression
        ** Caplyta is also under review as an add-on therapy for
major depressive disorder 
  
        ** At least three analysts said the deal was a good fit
for J&J's existing portfolio of brain disease treatments, which
includes schizophrenia drug paliperidone sold under multiple
brand names 
  
        ** Needham analysts said in a note that investors could
focus on J&J's late-stage depression drug aticaprant and its
overlap with Caplyta 
  
        ** "However, it may not be a direct competitor to
Caplyta as it has a different mechanism," said Needham analysts,
adding that the drug also targets a subset of patients with
depression 
  
        ** Companies expect to close the deal later this year 
  
    ** J&J shares up marginally at $142.61; stock fell ~8% in
2024     
    ** ITCI rose 16.6% in 2024

 (Reporting by Puyaan Singh and Bhanvi Satija)
 ((Puyaan.Singh@thomsonreuters.com;))