Actavis Adds To Infectious Disease Portfolio With Durata Merger

By Lori Clapper

Actavis and Durata Therapeutics announced a $675 million merger agreement Tuesday, in which an Actavis subsidiary will acquire all of the outstanding shares of Durata.

As per the agreement, Actavis will purchase all outstanding shares of Durata common stock, in addition to Durata’s antibiotic Dalvance, indicated for those with infectious diseases in hospital and outpatient settings. The addition of this drug will both enhances Actavis' long-term growth profile for the future and significantly build Actavis' infectious disease expertise, according to the company press release.

Pending approval, the merger transaction will occur in late 2014 or early 2015, making Durata an Actavis subsidiary.

"The acquisition of Durata is a strong strategic fit that strengthens Actavis' emerging infectious disease franchise and aligns with our stated goal to make smart, targeted investments that complement our existing businesses and position the Company for continued long-term growth," said Brent Saunders, CEO and President of Actavis.  "Dalvance is a novel antibiotic that can be used in multiple sites of care. It complements our Teflaro product and ceftazidine-avibactam, currently in late-stage development, which are intended for use in the inpatient setting.”

Dalvance is “the first and only” IV antibiotic for acute bacterial skin and skin structure infections (ABSSSI), boasting once-a-week-dosing for two weeks. The U.S. Food and Drug Administration (FDA) approved the drug product in May 2014, making the drug the first Qualified Infectious Disease Product to be approved. The European Medicines Agency is also at work reviewing a Marketing Authorization Application (MAA), and a decision should be reached by the beginning of 2015.

Between January and June 2010, it’s estimated that 9.2 million patients were treated in hospitals for infections of many types in the U.S. alone.  Nearly 17 percent of the 9.2 million presented with skin and skin structure infections (SSSI).  Dalvance is unique to other products in its class with its once-a-week dosing and possible single-dose formulation. Current standard of treatment are twice-daily IV antibiotic infusions, making the medicine more convenient and affordable for patients in the long run.