Johnson & Johnson to Buy Intra-Cellular Therapies for $14.6 Billion
Johnson & Johnson said it would purchase drugmaker Intra-Cellular Therapies for $14.6 billion, marking a 39% premium over Intra-Cellular’s Friday closing price. Under the deal, Johnson & Johnson will acquire all of Intra-Cellular’s shares for $132 apiece. Intra-Cellular’s shares jumped 35% to $128 in premarket trading following the announcement.
The acquisition will enhance Johnson & Johnson’s presence in the market for neurological disorder treatments. Intra-Cellular’s oral drug Caplyta, which is approved to treat schizophrenia and depressive episodes associated with bipolar disorder, brought in $481.3 million in sales in the first nine months of 2024. The company is also seeking expanded regulatory approval for Caplyta as an add-on therapy for major depressive disorder.
Additionally, Intra-Cellular is testing a second therapy, ITI-1284, in mid-stage studies for the treatment of generalized anxiety disorder, Alzheimer-related psychosis and agitation, and major depressive disorder. This deal further bolsters Johnson & Johnson’s growth ambitions beyond 2025, when its blockbuster psoriasis drug Stelara could face competition from multiple biosimilar versions in the United States.
Last year, Johnson & Johnson completed several other strategic acquisitions, including the $1.25 billion purchase of Numab’s skin disorder drug and the $850 million acquisition of drug developer Proteologix. The company also acquired heart device maker Shockwave Medical in a $13.1 billion deal and took over V-Wave for $1.7 billion to enhance its medical device business.
Johnson & Johnson expects to fund the acquisition through a combination of cash on hand and debt, and aims to close the deal later this year.