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Tuesday, January 21, 2014

Teva buys NuPathe to expand central nervous system business, (NASDAQ: PATH)

Teva Pharmaceutical Industries will acquire NuPathe Inc for $3.65 per share in cash, or $144 million, to expand its portfolio of medicines to treat conditions affecting the central nervous system (CNS).In addition to the upfront cash payment, NuPathe shareholders will receive rights to get additional cash payments of up to $3.15 per share if specified sales of NuPathe's migraine treatment Zecuity are achieved over time, Israel-based Teva said on Tuesday.NuPathe said it terminated its takeover deal with Endo Health Solutions Inc, saying Teva's offer represented a premium of about 28 percent over the upfront cash payment offered by Endo and equal amount of milestone-based payments. .Zecuity is the only prescription migraine patch approved by the U.S. Food and Drug Administration for the acute treatment of migraine in adults. It is a disposable, single-use, transdermal patch that actively delivers sumatriptan, the most widely prescribed migraine medication, through the skin.

NuPathe, Inc. develops therapeutics for diseases of the central nervous system including neurological and psychiatric disorders. Shares of PATH traded higher by 0.69% or $0.03/share to $4.38. In the past year, the shares have traded as low as $1.57 and as high as $4.49. On average, 585121 shares of PATH exchange hands on a given day and today's volume is recorded at 221771.