Otsuka to acquire Neurovance in $100m deal

Otsuka Pharmaceutical has agreed to acquire Neurovance, a privately held clinical stage pharma company.

The agreement, which was announced yesterday, March 2, will see Otsuka pay $100 million upfront and up to $150 million in additional payments.

US-based Neurovance is developing centanafadine, a treatment for attention-deficit hyperactivity disorder (ADHD).

Neurovance is based in Cambridge, Massachusetts, and was established as a spin-off from Euthymics Bioscience in 2011.

Tatsuo Higuchi, president and executive director of Otsuka, said: “Otsuka has been investing prudently in acquiring assets and collaborating on the development of new technologies that address specific patient needs in the central nervous system, cardio-renal and oncology therapeutic areas.”

He added that Neurovance’s resources will be a “welcome” and “integral part” of Otsuka’s activities.

The transaction is expected to close in the second quarter of 2017.