Denmark-based H. Lundbeck A/S on Monday agreed to acquire Longboard Pharmaceuticals, Inc ( LBPH ) for $60.00 per share in cash.

The transaction is valued at approximately $2.6 billion in equity value and $2.5 billion (approximately 17 billion Danish krone) net of cash on a fully diluted basis.

The M&A transaction is expected to close in the fourth quarter of 2024.

Also Read: Longboard Pharmaceuticals Boasts High-Value Epilepsy Assets, Analyst Initiates Coverage.

Longboard is a clinical-stage biopharmaceutical company focused on developing medicines for neurological diseases.

The company’s lead asset, bexicaserin is under development for several neurological indications.

Last month, the company released interim results from its ongoing 52-week open-label extension of the PACIFIC Study evaluating bexicaserin (LP352) in participants ages 12-65 with Developmental and Epileptic Encephalopathies (DEEs).

Recently, bexicaserin received FDA Rare Pediatric Disease designation and Orphan Drug designation for Dravet syndrome.

The company initiated a global Phase 3 DEEp SEA Study with bexicaserin for seizures associated with Dravet syndrome in participants two years of age and older.

The bexicaserin asset complements Lundbeck’s mid-to-late-stage pipeline and diversifies revenue growth following its expected launch in the fourth quarter of 2028. Lundbeck estimates the global peak sales potential between $1.5 billion and $2 billion.

Following the closing of the transaction, Lundbeck will focus on de-leveraging, and leverage is expected to be in Lundbeck’s target range of