Horizon Pharma plc (NASDAQ:HZNP) reported that at a hearing held recently, Judge Peter Kirwan of the Superior Court of California for the County of Santa Clara granted Depomed Inc.’s (“Depomed”) motion for preliminary injunctive relief against Horizon Pharma’s alleged use of information that Depomed claimed was confidential.
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Furthermore, the company explained that it considers Nucynta franchise as an important key driver that would boost its EBITDA and cash flows in 2015 and beyond.
“Ultimately, we strongly believe we have successfully executed our acquisition and commercialization strategy, and Depomed has a bright future as an independent company”, Depomed said in a statement.
We thank all of our shareholders for their input and support throughout this process. JMP Securities reissued a “buy” rating on shares of Horizon Pharma PLC in a report on Thursday, October 22nd.
Horizon’s offer in July came to $29.25 per Depomed share, a 42% premium over the closing per-share price of $20.64 on July 6.
HZNP has been the topic of a number of research analyst reports. The stock’s 50-day moving average is $18.79 and its 200-day moving average is $23.99. Mizuho reiterated a “buy” rating and set a $34.00 price target (up previously from $32.00) on shares of Horizon Pharma PLC in a research note on Monday, November 9th.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Ken Trbovich and Chiara Russo have a total average return of 15.9% and -4.2% respectively. “While we are disappointed by the court’s ruling, Depomed was only one of many attractive acquisition opportunities we have been actively pursuing”. The stock presently has a consensus rating of “Buy” and an average price target of $38.40.
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Horizon was hoping to broaden its portfolio beyond the orphan disease drugs it specializes in and thought Depomed’s lineup of drugs for treating pain and central nervous system disorders would be the ticket.
