Allergan to buy Vitae for $639m

Pharmaceutical company Allergan is set to acquire clinical-stage biotechnology company Vitae Pharmaceuticals for $639 million.

The acquisition will add VTP-43742, a potential treatment for psoriasis, to Allergan’s portfolio, as well as VTP-38543, a potential treatment for atopic dermatitis.

Brent Saunders, CEO and president of Allergan, said: “The acquisition of Vitae is a strategic investment for Allergan that adds strength and depth to our innovative medical dermatology franchise.”

He added that Vitae had pioneered the discovery and development of highly differentiated first-in-class compounds in atopic dermatitis, psoriasis and autoimmune diseases.

Jeff Hatfield, president and CEO of Vitae, added: “Allergan has a long track record in developing and commercialising innovative dermatologic treatments. I believe our programmes will be poised for successful development as part of Allergan's portfolio.”

Pending approvals, the transaction is expected to close by the end of 2016.