Eton Pharmaceuticals, Inc. (ETON) announced on Thursday its plan to acquire the rights to Increlex (mecasermin injection) from Ipsen S.A. (IPSEY) through an asset purchase agreement. The financial terms of the agreement have not been made public.
Eton Pharmaceuticals, which specializes in treatments for rare diseases, anticipates that the acquisition will be finalized by the end of 2024.
Increlex is a biologic medication specifically designed for children and adolescents, aged 2 to 18, who have severe primary insulin-like growth factor 1 deficiency (SPIGFD) due to insufficient production of IGF-1. This product is authorized in 40 regions, including the United States and the European Union, and is the sole treatment for SPIGFD endorsed by both the U.S. Food and Drug Administration and the European Medicines Agency.
Estimates suggest that approximately 200 patients in the United States and between 900 to 1,000 patients in Europe are affected by SPIGFD.
Upon completion of the acquisition, Eton intends to commence the distribution of Increlex in the U.S. without interrupting the supply to patients. Ipsen will continue to manage the distribution outside the U.S. for a six-month transitional period to ensure continuity of patient care. Following this period, Eton will take over the commercialization efforts.
To fund the acquisition, Eton plans to utilize its cash reserves and extend its existing credit facility with SWK Holdings. Ipsen reported that Increlex generated global sales of €17.3 million in 2023.
