Shire boosts rare disease portfolio with acquisition of ViroPharma

Shire is to acquire rare disease company ViroPharma for $4.2 billion in a strategic move to boost its orphan drug portfolio.

ViroPharma is a high growth, rare disease biopharma company, whose commercial product Cinryze (C1 esterase inhibitor [human]), is a leading brand for the prophylactic treatment of Hereditary Angioedema (HAE).

HAE is a rare genetic disease that affects approximately 8000 patients in the US, although Shire believes only 3,500 of these patients actively manage their disease. HAE is characterised by recurrent sudden attacks of swelling of the skin or the mucous membranes which can be disfiguring, painful and potentially life-threatening in the case of laryngeal attacks.

"Shire is uniquely positioned to drive the continued success of CINRYZE for the benefit of patients through our knowledge of the rare disease space, our international infrastructure and our biologics manufacturing expertise.

"Shire is also excited by the prospect of being able to offer two complementary treatments, FIRAZYR for the treatment of acute HAE attacks and CINRYZE for prophylactic treatment of patients suffering from HAE. Shire's priority will be to ensure CINRYZE patients continue to enjoy high standards of service."

Shire Chief Executive Officer, Flemming Ornskov MD.

In 2012, ViroPharma generated total worldwide net revenues of $428 million and is forecasted to be in the range of $445 million to $465 million in 2013. The US FDA approved Cinryze with orphan drug designation in October 2008 and has grown rapidly since launch in 2009 to generate revenues of $321 million in the U.S. in 2012.

Shire expects the addition of Cinryze to its Rare Disease Business Unit to create a growing $2 billion revenue business in 2014 which will represent approximately 40% of Shire's total product sales on a pro forma basis. The acquisition of ViroPharma is expected to enhance Shire's revenue growth profile in both the short and long term.