Horizon Pharma acquires Vidara Therapeutics in reverse bid

Horizon Pharma, Inc. and Vidara Therapeutics International Ltd. have announced a definitive agreement under which Horizon Pharma will acquire Dublin-based Vidara through a reverse merger for stock and cash valued at approximately $660 million (20/03/2014).  Horizon Pharma plc will be the name of the resulting company which will be organised under the laws of Ireland with a portfolio of four products marketed primarily in the United States. The proposed transaction which will benefit from lower corporate tax rates in Ireland, has been unanimously approved by both companies' boards of directors.

Pursuant to the agreement, Vidara will combine with Horizon Pharma, Inc. with approximately 74% of Horizon Pharma plc's ordinary shares to be exchanged for Horizon Pharma, Inc.'s common shares, with Horizon surviving the merger. The shareholders of Vidara will retain approximately 26% of Horizon Pharma plc and receive $200 million in cash, subject to certain adjustments. The benefits of the transaction will see the accelerated transformation of Horizon to a profitable specialty pharma company, with expected pro forma combined, full year 2014 revenues of $250 to $265 million and EBITDA⁽¹⁾ of $65 to $75 million.