Lake Forest, Ill.-based Horizon Pharma will reportedly buy La Jolla, Calif.-based Raptor Pharmaceutical for $800 million, according to Reuters.
Here are five things to know about the Horizon, Raptor deal:
1. Horizon said it would pay $9 for each Raptor share, which were trading at $8.96 at the time of the statement.
2. Horizon CEO Tim Walbert has been vocal about his intention to expand the company through acquisitions.
3. According to Reuters, Mr. Walbert said he wants to heighten Horizon's focus on rare diseases, shifting the company away from primary care where pricing pressure has been more prominent.
4. In 2015, Raptor generated $94.2 million in revenue and expects to hit $125 to $135 in 2016.
5. Horizon will reportedly finance the Raptor transaction via $675 million of external debt along with cash on hand. Horizon expects the deal to close in the fourth quarter, according to Reuters.
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