Acorda files for bankruptcy, sells assets to Merz

April 3, 2024

Acorda Therapeutics is filing for Chapter 11 and has struck a deal to sell its assets to Germany’s Merz Therapeutics.

The $185 million asset purchase agreement includes the rights to Acorda's two marketed drugs, Inbrija and Ampryva (branded as Fampyra outside the U.S.).

Ampryva is a potassium channel blocker approved in 2010 to improve walking in adults with multiple sclerosis. Inbrija, approved in 2018, was the first approved inhaled levodopa for treating "OFF" periods in Parkinson’s patients receiving a carbidopa/levodopa regimen. OFF periods are the return of Parkinson’s symptoms that result from low levels of dopamine between doses of the standard oral baseline Parkinson’s treatment.

The acquisition will be processed through a court-structured 363 sale process under the U.S. Bankruptcy Code, where Merz will serve as the "stalking horse" bidder, providing the opening in the auction. Per Acorda's SEC filing, Acorda will manage the bidding process and evaluate the bids, in consultation with its advisors and bankruptcy court.

The New York-based neurological disorder specialist says the decision to file for Chapter 11 came after a "lengthy strategic review during which the company explored a wide range of strategic options." Acorda unveiled its most recent corporate restructuring in late 2019, reducing headcount by 25%. 

Merz, for its part, seems eager to pick up Acorda's assets, which it says will both expand the company's portfolio in movement disorders and neurodegeneration as well as strengthen its market position in North America.