[SC TO-C] Bausch Health Companies Inc Tender Offer Communication
Bausch Health (BHC) will acquire DURECT Corp. (DRRX). Its subsidiary will tender for all shares at $1.75 cash plus one CVR per share. The CVR provides up to $350 M in milestone payments. Up-front cash of about $63 M equals a 191 % premium to 30-day VWAP and 217 % to last close.
The deal adds larsucosterol, an epigenetic modulator with FDA Breakthrough Therapy status for alcoholic hepatitis that showed positive Phase 2 data. BHC plans a randomized Phase 3 trial; the drug complements its rifaximin SSD program in hepatology.
Closing requires a majority tender and customary conditions; targeted for Q3 2025. Untendered shares will be acquired via a follow-on merger at identical terms. Offer documents will be filed on Schedule TO and 14D-9.
Bausch Health (BHC) acquisirà DURECT Corp. (DRRX). La sua controllata offrirà un'offerta per tutte le azioni a 1,75 $ in contanti più un CVR per azione. Il CVR prevede fino a 350 milioni di $ in pagamenti legati a milestone. Il pagamento iniziale in contanti di circa 63 milioni di $ corrisponde a un premio del 191% rispetto alla VWAP a 30 giorni e del 217% rispetto all'ultimo prezzo di chiusura.
L'accordo include larsucosterol, un modulatore epigenetico con lo status di FDA Breakthrough Therapy per l'epatite alcolica, che ha mostrato dati positivi in Fase 2. BHC prevede una sperimentazione randomizzata di Fase 3; il farmaco integra il suo programma rifaximina SSD in epatologia.
La chiusura richiede un'offerta maggioritaria e condizioni consuete; prevista per il terzo trimestre 2025. Le azioni non offerte saranno acquisite tramite una fusione successiva alle stesse condizioni. I documenti dell'offerta saranno depositati nei moduli Schedule TO e 14D-9.
Bausch Health (BHC) adquirirá DURECT Corp. (DRRX). Su subsidiaria ofrecerá la compra de todas las acciones a 1,75 $ en efectivo más un CVR por acción. El CVR ofrece hasta 350 millones de $ en pagos por hitos. El pago inicial en efectivo de aproximadamente 63 millones de $ representa una prima del 191% sobre el VWAP de 30 días y del 217% sobre el último cierre.
El acuerdo incluye larsucosterol, un modulador epigenético con estatus de FDA Breakthrough Therapy para hepatitis alcohólica que mostró datos positivos en Fase 2. BHC planea un ensayo aleatorizado de Fase 3; el fármaco complementa su programa rifaximina SSD en hepatología.
El cierre requiere una aceptación mayoritaria y condiciones habituales; está previsto para el tercer trimestre de 2025. Las acciones no aceptadas serán adquiridas mediante una fusión posterior en los mismos términos. Los documentos de la oferta se presentarán en los formularios Schedule TO y 14D-9.
Bausch Health (BHC)가 DURECT Corp. (DRRX)를 인수할 예정입니다. 자회사는 모든 주식을 주당 1.75달러 현금과 1개의 CVR로 공개 매수할 것입니다. CVR은 최대 3억 5천만 달러의 마일스톤 지급을 제공합니다. 약 6,300만 달러의 선불 현금은 30일 VWAP 대비 191%, 마지막 종가 대비 217%의 프리미엄에 해당합니다.
이번 거래에는 알코올성 간염에 대해 FDA 혁신 치료제(Breakthrough Therapy) 지정을 받은 에피제네틱 조절제 larsucosterol이 포함되며, 2상 시험에서 긍정적인 결과를 보였습니다. BHC는 무작위 3상 시험을 계획 중이며, 이 약물은 간질환 치료제 rifaximin SSD 프로그램을 보완합니다.
거래 완료를 위해서는 다수의 공개 매수와 일반적인 조건 충족이 필요하며, 2025년 3분기를 목표로 하고 있습니다. 공개 매수에 응하지 않은 주식은 동일 조건의 후속 합병을 통해 취득할 예정입니다. 제안서 문서는 Schedule TO 및 14D-9 양식에 제출될 예정입니다.
Bausch Health (BHC) va acquérir DURECT Corp. (DRRX). Sa filiale lancera une offre pour toutes les actions à 1,75 $ en espèces plus un CVR par action. Le CVR offre jusqu'à 350 millions de $ en paiements liés à des étapes clés. Le paiement initial en espèces d'environ 63 millions de $ représente une prime de 191 % par rapport au VWAP sur 30 jours et de 217 % par rapport au dernier cours de clôture.
L'accord inclut larsucosterol, un modulateur épigénétique bénéficiant du statut de FDA Breakthrough Therapy pour l'hépatite alcoolique, qui a montré des données positives en phase 2. BHC prévoit un essai randomisé de phase 3 ; le médicament complète son programme rifaximine SSD en hépatologie.
La clôture nécessite une offre majoritaire et des conditions habituelles ; prévue pour le troisième trimestre 2025. Les actions non proposées seront acquises par une fusion ultérieure aux mêmes conditions. Les documents de l'offre seront déposés selon les formulaires Schedule TO et 14D-9.
Bausch Health (BHC) wird DURECT Corp. (DRRX) übernehmen. Die Tochtergesellschaft wird alle Aktien zu 1,75 $ in bar plus einem CVR pro Aktie anbieten. Der CVR bietet bis zu 350 Mio. $ an Meilensteinzahlungen. Die Vorauszahlung in bar von etwa 63 Mio. $ entspricht einer Prämie von 191 % gegenüber dem 30-Tage-VWAP und 217 % gegenüber dem letzten Schlusskurs.
Der Deal umfasst larsucosterol, einen epigenetischen Modulator mit FDA Breakthrough Therapy-Status für alkoholische Hepatitis, der positive Phase-2-Daten zeigte. BHC plant eine randomisierte Phase-3-Studie; das Medikament ergänzt das rifaximin SSD-Programm in der Hepatologie.
Der Abschluss erfordert eine Mehrheitsannahme und übliche Bedingungen; geplant für das dritte Quartal 2025. Nicht angenommene Aktien werden über eine Folgverschmelzung zu identischen Bedingungen erworben. Angebotsunterlagen werden in den Formularen Schedule TO und 14D-9 eingereicht.
- Breakthrough Therapy asset larsucosterol adds a Phase-3-ready program in a high-unmet-need indication to BHC’s pipeline.
- Premium of 191 % to 30-day VWAP delivers immediate value for DURECT shareholders.
- Deal structure uses CVRs to align most consideration with future commercial success, limiting upfront cash outlay.
- Clinical risk remains high—larsucosterol has not yet started Phase 3; failure would nullify strategic rationale.
- Potential $350 M milestone payments could pressure future cash flows if sales materialize.
- Integration could divert management attention from core businesses during key R&D and deleveraging initiatives.
Insights
TL;DR: Small, strategic tuck-in; high premium but modest cash outlay, CVR caps risk—net positive for BHC shareholders.
The $63 M upfront payment is immaterial to BHC’s balance sheet yet delivers a Phase-3-ready asset with Breakthrough Therapy status, enhancing the hepatology franchise alongside rifaximin SSD. A 191 % premium signals conviction, but structuring most consideration as sales-based CVRs prudently aligns payout with commercialization success, limiting downside. Expected Q3-25 close and standard conditions suggest low execution risk. Overall, the deal is pipeline-accretive with contained financial exposure.
TL;DR: Adds late-stage liver asset but clinical, regulatory, and commercial risks remain significant.
Larsucosterol addresses an indication (alcoholic hepatitis) with no approved therapies and high mortality, offering blockbuster potential if Phase 3 reproduces Phase 2 survival benefit. FDA Breakthrough status should expedite review. However, pivotal trial design, 90-day survival endpoint, and complex AH patient population pose substantial risk. CVR milestones—up to $350 M—could inflate deal cost if sales ramp, yet signal management’s confidence. For now, impact on valuation is neutral pending Phase 3 data.
Bausch Health (BHC) acquisirà DURECT Corp. (DRRX). La sua controllata offrirà un'offerta per tutte le azioni a 1,75 $ in contanti più un CVR per azione. Il CVR prevede fino a 350 milioni di $ in pagamenti legati a milestone. Il pagamento iniziale in contanti di circa 63 milioni di $ corrisponde a un premio del 191% rispetto alla VWAP a 30 giorni e del 217% rispetto all'ultimo prezzo di chiusura.
L'accordo include larsucosterol, un modulatore epigenetico con lo status di FDA Breakthrough Therapy per l'epatite alcolica, che ha mostrato dati positivi in Fase 2. BHC prevede una sperimentazione randomizzata di Fase 3; il farmaco integra il suo programma rifaximina SSD in epatologia.
La chiusura richiede un'offerta maggioritaria e condizioni consuete; prevista per il terzo trimestre 2025. Le azioni non offerte saranno acquisite tramite una fusione successiva alle stesse condizioni. I documenti dell'offerta saranno depositati nei moduli Schedule TO e 14D-9.
Bausch Health (BHC) adquirirá DURECT Corp. (DRRX). Su subsidiaria ofrecerá la compra de todas las acciones a 1,75 $ en efectivo más un CVR por acción. El CVR ofrece hasta 350 millones de $ en pagos por hitos. El pago inicial en efectivo de aproximadamente 63 millones de $ representa una prima del 191% sobre el VWAP de 30 días y del 217% sobre el último cierre.
El acuerdo incluye larsucosterol, un modulador epigenético con estatus de FDA Breakthrough Therapy para hepatitis alcohólica que mostró datos positivos en Fase 2. BHC planea un ensayo aleatorizado de Fase 3; el fármaco complementa su programa rifaximina SSD en hepatología.
El cierre requiere una aceptación mayoritaria y condiciones habituales; está previsto para el tercer trimestre de 2025. Las acciones no aceptadas serán adquiridas mediante una fusión posterior en los mismos términos. Los documentos de la oferta se presentarán en los formularios Schedule TO y 14D-9.
Bausch Health (BHC)가 DURECT Corp. (DRRX)를 인수할 예정입니다. 자회사는 모든 주식을 주당 1.75달러 현금과 1개의 CVR로 공개 매수할 것입니다. CVR은 최대 3억 5천만 달러의 마일스톤 지급을 제공합니다. 약 6,300만 달러의 선불 현금은 30일 VWAP 대비 191%, 마지막 종가 대비 217%의 프리미엄에 해당합니다.
이번 거래에는 알코올성 간염에 대해 FDA 혁신 치료제(Breakthrough Therapy) 지정을 받은 에피제네틱 조절제 larsucosterol이 포함되며, 2상 시험에서 긍정적인 결과를 보였습니다. BHC는 무작위 3상 시험을 계획 중이며, 이 약물은 간질환 치료제 rifaximin SSD 프로그램을 보완합니다.
거래 완료를 위해서는 다수의 공개 매수와 일반적인 조건 충족이 필요하며, 2025년 3분기를 목표로 하고 있습니다. 공개 매수에 응하지 않은 주식은 동일 조건의 후속 합병을 통해 취득할 예정입니다. 제안서 문서는 Schedule TO 및 14D-9 양식에 제출될 예정입니다.
Bausch Health (BHC) va acquérir DURECT Corp. (DRRX). Sa filiale lancera une offre pour toutes les actions à 1,75 $ en espèces plus un CVR par action. Le CVR offre jusqu'à 350 millions de $ en paiements liés à des étapes clés. Le paiement initial en espèces d'environ 63 millions de $ représente une prime de 191 % par rapport au VWAP sur 30 jours et de 217 % par rapport au dernier cours de clôture.
L'accord inclut larsucosterol, un modulateur épigénétique bénéficiant du statut de FDA Breakthrough Therapy pour l'hépatite alcoolique, qui a montré des données positives en phase 2. BHC prévoit un essai randomisé de phase 3 ; le médicament complète son programme rifaximine SSD en hépatologie.
La clôture nécessite une offre majoritaire et des conditions habituelles ; prévue pour le troisième trimestre 2025. Les actions non proposées seront acquises par une fusion ultérieure aux mêmes conditions. Les documents de l'offre seront déposés selon les formulaires Schedule TO et 14D-9.
Bausch Health (BHC) wird DURECT Corp. (DRRX) übernehmen. Die Tochtergesellschaft wird alle Aktien zu 1,75 $ in bar plus einem CVR pro Aktie anbieten. Der CVR bietet bis zu 350 Mio. $ an Meilensteinzahlungen. Die Vorauszahlung in bar von etwa 63 Mio. $ entspricht einer Prämie von 191 % gegenüber dem 30-Tage-VWAP und 217 % gegenüber dem letzten Schlusskurs.
Der Deal umfasst larsucosterol, einen epigenetischen Modulator mit FDA Breakthrough Therapy-Status für alkoholische Hepatitis, der positive Phase-2-Daten zeigte. BHC plant eine randomisierte Phase-3-Studie; das Medikament ergänzt das rifaximin SSD-Programm in der Hepatologie.
Der Abschluss erfordert eine Mehrheitsannahme und übliche Bedingungen; geplant für das dritte Quartal 2025. Nicht angenommene Aktien werden über eine Folgverschmelzung zu identischen Bedingungen erworben. Angebotsunterlagen werden in den Formularen Schedule TO und 14D-9 eingereicht.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of the earliest event reported): July 29, 2025
Bausch Health Companies Inc.
(Exact Name of Registrant as Specified in Its Charter)
| British Columbia, Canada | 001-14956 | 98-0448205 | ||
| (State or Other Jurisdiction of Incorporation or Organization) |
(Commission File Number) |
(I.R.S. Employer Identification Number) |
2150 St. Elzéar Blvd. West
Laval, Quebec
Canada H7L 4A8
(Address of Principal Executive Offices) (Zip Code)
(514) 744-6792
(Registrant’s telephone number, including area code)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☒ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class |
Trading |
Name of each exchange | ||
| Common Shares, No Par Value | BHC | New York Stock Exchange, Toronto Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 8.01 | Other Events |
On July 29, 2025, Bausch Health Companies Inc. (“BHC”) and DURECT Corporation (“DURECT”) issued a joint press release announcing the execution of an Agreement and Plan of Merger (the “Merger Agreement”). Pursuant to the Merger Agreement, BHC Lyon Merger Sub, Inc., a wholly-owned subsidiary of BHC (“BHC Lyon”), will commence a tender offer (the “Offer”) to purchase all of the issued and outstanding shares of common stock of DURECT, for (a) $1.75 per share in cash, plus (b) one non-transferrable contingent value right for each share of DURECT common stock, which represents the contractual right to receive the pro rata portion of two milestone payments of up to $350,000,000 in the aggregate (net of retention bonuses payable to certain DURECT employees upon milestone achievement) upon the achievement of net sales milestones. If successful, the Offer will be followed by a merger of BHC Lyon with and into DURECT. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
Additional Information
The tender offer described in this communication has not yet commenced. This communication is neither an offer to purchase nor a solicitation of an offer to sell shares of the common stock of DURECT or any other securities. At the time the tender offer is commenced, we will file, or will cause to be filed, tender offer materials on Schedule TO with the SEC and DURECT will file a Solicitation/Recommendation Statement on Schedule 14D-9 with the SEC, in each case with respect to the tender offer. THE TENDER OFFER MATERIALS (INCLUDING AN OFFER TO PURCHASE, A RELATED LETTER OF TRANSMITTAL AND OTHER OFFER DOCUMENTS) AND THE SOLICITATION/RECOMMENDATION STATEMENT, AS THEY MAY BE AMENDED FROM TIME TO TIME, WILL CONTAIN IMPORTANT INFORMATION THAT SHOULD BE READ CAREFULLY WHEN THEY BECOME AVAILABLE AND CONSIDERED BEFORE ANY DECISION IS MADE WITH RESPECT TO THE TENDER OFFER. Those materials and all other documents filed by, or caused to be filed by, BHC and DURECT with the SEC will be available at no charge on the SEC’s website at www.sec.gov. The tender offer materials and related materials also may be obtained for free (when available) under the “Corporate Governance—SEC Filings” section of our investor website at https://ir.bauschhealth.com/, and the Solicitation/Recommendation Statement and such other documents also may be obtained for free (when available) from DURECT under the “SEC Filings” section of DURECT’s investor website at https://www.durect.com/investors/.
| Item 9.01 | Exhibits |
(d) Exhibits
| Exhibit Number |
Description | |
| 99.1 | Joint Press Release, dated July 29, 2025. | |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL). | |
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| BAUSCH HEALTH COMPANIES INC. | ||
| By: | /s/ Jean-Jacques Charhon | |
| Name: | Jean-Jacques Charhon | |
| Title: | Executive Vice President, Chief Financial Officer | |
Date: July 29, 2025
Exhibit 99.1
|
|
| Investor Contact: | Media Contact: | |
| Garen Sarafian | Katie Savastano | |
| ir@bauschhealth.com | corporate.communications@bauschhealth.com | |
| 877-281-6642 (toll-free) | (908) 569-3692 | |
| Investor Relations (DURECT Corporation) | Media Contact (DURECT Corporation) | |
| Sandya von der Weid | Michael Fitzhugh | |
| LifeSci Advisors | LifeSci Communications | |
| svonderweid@lifesciadvisors.com | mfitzhugh@lifescicomms.com | |
Bausch Health to Acquire DURECT Corporation, Strengthening Commitment to Developing
Innovative Solutions for Patients with Liver Disease
| • | DURECT’s lead asset, Larsucosterol, is an epigenetic modulator with FDA Breakthrough Therapy Designation |
| • | Potential to be the first FDA-approved therapeutic option for the treatment of patients with alcoholic hepatitis |
| • | Proposed acquisition strengthens Bausch Health’s commitment to hepatology and patients suffering with liver disease complications globally |
LAVAL, Quebec and CUPERTINO, California, July 29, 2025 – Bausch Health Companies Inc. (NYSE: BHC) (TSX: BHC), a global, diversified pharmaceutical company, and DURECT Corporation (NASDAQ: DRRX) today announced a definitive agreement under which Bausch Health will indirectly acquire DURECT Corporation, including a novel therapeutic molecule, larsucosterol, which can harness the power of epigenetic modulation. Larsucosterol, an endogenous sulfated oxysterol and an epigenetic modulator, has demonstrated promising results for the treatment of alcoholic hepatitis (AH) in Phase 2 trials. Bausch Health’s hepatology development and commercial capabilities are well-suited to support the clinical development and potential commercialization of larsucosterol.
AH is a life-threatening form of alcohol-associated liver disease (ALD), which can occur in individuals who chronically misuse alcohol. It is characterized by severe inflammation and destruction of liver tissue (i.e., necrosis). AH accounted for roughly 164,000 hospital admissions in the U.S. in 2021. There is currently no Food and Drug Administration (FDA) or European Medicines Agency (EMA) approved treatment for AH, and novel therapeutic strategies are needed to improve patient survival.
“This announcement is fundamental progress on our Strategic Priority—Innovation, which is to intensify focus and operating rigor behind R&D and business development and demonstrates our commitment to hepatology and finding new ways to address unmet medical needs, living our purpose of enriching lives through our relentless drive to deliver better health outcomes for patients.” said Thomas J. Appio, Chief Executive Officer, Bausch Health.
“There is a significant unmet need in the treatment of patients with AH given the high mortality rate and that there are no currently approved treatments. We are very excited to add larsucosterol, an asset which has FDA Breakthrough Therapy Designation, to our pipeline, particularly as it builds on our existing expertise within the hepatology space. It is complementary to our ongoing Phase 3 program of soluble solid dispersion of rifaximin (rifaximin SSD) being studied in cirrhotic patients globally,” stated Jonathan Sadeh M.D., M.Sc. as Executive Vice President, Chief Medical Officer and Head of R&D at Bausch Health.
“AH, by our estimates, is responsible for about 100 deaths per day in the US and billions of dollars in healthcare costs,” stated James E. Brown, D.V.M., President and CEO of DURECT. “Since we reported results from our Phase 2b AHFIRM clinical trial for larsucosterol in AH, our primary focus has been advancing larsucosterol towards the completion of clinical development. We chose this transaction with Bausch Health because we believe it provides significant value for our stakeholders, both immediately and in the long term, should larsucosterol be approved and achieve commercial success. We view Bausch Health as the right partner to advance larsucosterol due to their expertise in hepatology, commercial success with Xifaxan and experienced development team. We look forward to the potential impact larsucosterol could have for patients with AH and the medical community that cares for them. Thank you to our team at DURECT and our partners that have helped advance larsucosterol to this point.”
A registrational Phase 3 program to evaluate the safety and efficacy of larsucosterol for the treatment of patients with severe AH is being planned. The trial will be a randomized, double-blind, placebo-controlled, multi-center study. The primary endpoint will be 90-day survival. The trial design will incorporate feedback received from the FDA during a Type B meeting under Breakthrough Therapy Designation as well as learnings from the prior Phase 2b AHFIRM trial in AH.
The acquisition of the clinical development program for larsucosterol in AH compliments the ongoing Bausch Health RED-C clinical program which is designed to assess the efficacy of a next generation therapeutic, rifaximin SSD, to delay onset of first overt hepatic encephalopathy (OHE) hospitalization and all-cause mortality. There are no medications globally approved for the primary prophylaxis and delay in decompensation to first episode of OHE in cirrhosis. Patient enrollment in two global Phase 3, randomized, double-blind, placebo-controlled studies is now complete with efficacy and safety results expected to be announced in early 2026.
“The addition of larsucosterol to our pipeline is a strategic fit with our focus in hepatology and underscores our continued dedication to exploring and identifying new treatments for individuals who are suffering with liver disease and its complications,” stated Aimee Lenar, Executive Vice President of US Pharma at Bausch Health. “We are excited to continue investment in bringing these breakthrough options to market, not just in the US, but also globally.”
Transaction Terms and Financial Considerations
Under the terms of the definitive agreement, a wholly owned subsidiary of Bausch Health will commence a tender offer for all outstanding shares of DURECT Corporation. Under the terms of the definitive agreement, Bausch Health will pay $1.75 per share in an all-cash transaction for an upfront consideration of approximately $63 million at closing, with the potential for two additional net sales milestone payments of up to $350 million in the aggregate (subject to certain adjustments in respect of a retention plan) if the milestone is achieved before the earlier of the 10 year anniversary of the first commercial sale in the United States and December 31, 2045. The purchase price payable at closing represents a premium of approximately 191% to the 30-day volume-weighted average trading price of DURECT’s common stock ended on July 28, 2025, the last trading day before the announcement of the transaction. This upfront consideration represents a premium of approximately 217% to the trading price of DURECT’s common stock ended on July 28, 2025.
The transaction is conditioned on a majority of the outstanding shares of DURECT Corporation’s common stock being tendered into the tender offer and not withdrawn, as well as other customary closing conditions. The transaction is expected to close in the third quarter of 2025. Assuming the closing of the tender offer, Bausch Health will acquire any shares of DURECT not tendered into the tender offer through a merger of a wholly owned subsidiary with and into DURECT for the same per share consideration payable in the tender offer.
Advisors
Centerview Partners LLC is serving as exclusive financial advisor and Sullivan & Cromwell LLP is serving as legal advisor to Bausch Health. Locust Walk is serving as exclusive financial advisor and Orrick, Herington and Sutcliffe LLP is serving as legal advisor to DURECT.
About Bausch Health
Bausch Health Companies Inc. (NYSE: BHC) (TSX: BHC), is a global, diversified pharmaceutical company enriching lives through our relentless drive to deliver better health care outcomes. We develop, manufacture and market a range of products primarily in gastroenterology, hepatology, neurology, dermatology, dentistry, aesthetics, international pharmaceuticals and eye health, through our controlling interest in Bausch + Lomb Corporation. Our ambition is to be a globally integrated healthcare company, trusted and valued by patients, HCPs, employees and investors. Our gastroenterology business, Salix Pharmaceuticals, is one of the largest specialty pharmaceutical businesses in the world and has licensed, developed and marketed innovative products for the treatment of gastrointestinal diseases for more than 30 years. For more information about Salix, visit www.Salix.com and connect with us on Twitter and LinkedIn. For more information about Bausch Health, visit www.bauschhealth.com and connect with us on LinkedIn.
About DURECT Corporation
DURECT Corporation (Nasdaq: DRRX) is a late-stage biopharmaceutical company pioneering the development of epigenetic therapies that target dysregulated DNA methylation to transform the treatment of serious and life-threatening conditions, including acute organ injury. Larsucosterol, DURECT’s lead drug candidate, binds to and inhibits the activity of DNA methyltransferases, epigenetic enzymes that are elevated and associated with hypermethylation found in AH patients. Larsucosterol is in clinical development for the potential treatment of AH, for which the FDA has granted a Fast Track and a Breakthrough Therapy designation; MASH is also being explored. For more information about DURECT, please visit www.durect.com and follow us on X (formerly Twitter) at https://x.com/DURECTCorp.
Forward Looking Statements
This news release may contain forward-looking statements about the proposed transaction with DURECT (the “Transaction”) and the future performance of Bausch Health (Bausch Health and DURECT, collectively, “the Parties”), which may generally be identified by the use of the words “anticipates,” “hopes,” “expects,” “intends,” “plans,” “should,” “could,” “would,” “may,” “believes,” “subject to” and variations or similar expressions. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Actual results are subject to other risks and uncertainties that relate more broadly to the Parties’ overall businesses, including those more fully described in the Parties’ most recent annual reports on Form 10-K and detailed from time to time in the Parties’ other filings with the U.S. Securities and Exchange Commission and, in the case of Bausch Health, the Canadian Securities Administrators, which factors are incorporated herein by reference. In addition, such risks and uncertainties include, but are not limited to, the following: uncertainties relating to the timing of the consummation of the proposed Transaction; the possibility that any or all of the conditions to the consummation of the Transaction may not be satisfied or waived; the failure to obtain requisite stockholder approval of DURECT, the effect of the announcement or pendency of the Transaction on Parties’ ability to maintain relationships with customers, suppliers, and other business partners; the impact of the Transaction if consummated on Bausch’s business, financial position and results of operations, including with respect to expectations regarding margin expansion, accretion and deleveraging; and risks relating to potential diversion of management attention away from the Parties’ ongoing business operations. There can be no assurance that the conditions to closing the Transaction will be satisfied or that the tender offer and the Transaction will be consummated. Additional information regarding certain of these material factors and assumptions may be found in the Parties’ filings described above as well as the filings made in connection with the Transaction described below. These forward-looking statements speak only as of the date hereof. The Parties undertake no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law.
Additional Information
This news release is for information purposes only and not intended to be a recommendation to buy, sell or hold securities and does not constitute an offer for the sale of, or the solicitation of an offer to buy, securities in any jurisdiction, including the United States. At the time the tender offer is commenced, we will file, or will cause to be filed, tender offer materials on Schedule TO with the SEC and DURECT will file a Solicitation/Recommendation Statement on Schedule 14D-9 with the SEC, in each case with respect to the tender offer. THE TENDER OFFER MATERIALS (INCLUDING AN OFFER TO PURCHASE, A RELATED LETTER OF TRANSMITTAL AND OTHER OFFER DOCUMENTS) AND THE SOLICITATION/RECOMMENDATION STATEMENT, AS THEY MAY BE AMENDED FROM TIME TO TIME, WILL CONTAIN IMPORTANT INFORMATION THAT SHOULD BE READ CAREFULLY WHEN THEY BECOME AVAILABLE AND CONSIDERED BEFORE ANY DECISION IS MADE WITH RESPECT TO THE TENDER OFFER. Those materials and all other documents filed by, or caused to be filed by, BHC and DURECT with the SEC will be available at no charge on the SEC’s website at www.sec.gov. The tender offer materials and related materials also may be obtained for free (when available) under the “Corporate Governance—SEC Filings” section of our investor website at https://ir.bauschhealth.com/, and the Solicitation/Recommendation Statement and such other documents also may be obtained for free (when available) from DURECT under the “SEC Filings” section of DURECT’s investor website at https://www.durect.com/investors/.
FAQ
What is Bausch Health (BHC) paying for DURECT?
How big is the premium for DURECT shareholders?
What is larsucosterol and its current development stage?
When is the acquisition expected to close?
What triggers the contingent value right (CVR) payments?
How does the deal align with BHC’s strategic priorities?
