Abbvie-Allergan merger clears hurdles towards European Commission’s approval
Since Abbvie’s announcement of acquiring Allergan in a $63 billion deal last year, the merger of the companies is pending approval with US regulatory authorities. However, as of March 2020, the merger has the European Commision’s approval after the company off-loaded 3 of Allergan’s drugs, clearing anti-trust laws. The main divesture is Allergan’s Brazikumab, an IL-23 inhibitor currently under testing for Crohn’s disease and ulcerative colitis. Brazikumab has significant overlap with Abbvie’s IL-23 inhibitor Skryzi, which has performed well in Phase 3 trial for psoriasis. Brazikumab is sold to AstraZeneca. The other 2 drugs, Zenpep and Viokace (pancreatic replacement enzymes) have been sold to Nestle. The amounts of the divestures are as yet undisclosed. This merger positions Abbvie as the 4th largest global drug manufacturer, with blockbusters like Skryizi (psoriasis, $216 million 2019 sales), Rinvoq (rheumatoid arthritis, $33 million 2019 sales), Botox (aesthetic medication, $271.8 million 2019 sales) and Vraylar (antipsychotic, $234.6 million 2019 sales) in its portfolio.
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