Jazz Pharmaceuticals agreed to buy Actio Biosciences for an upfront $820 million, with up to $500 million more tied to approval and sales milestones, in a deal aimed at bolstering its rare epilepsy business.
The centerpiece of the transaction is ABS-1230, Actio’s clinical-stage precision therapy for KCNT1+ epilepsy, a rare genetic developmental and epileptic encephalopathy affecting about 2,500 patients in the U.S. Jazz said ABS-1230 recently showed meaningful seizure reductions in an early proof-of-concept trial in children, and the ongoing Phase 1b/2a Kyron trial is intended to support a U.S. new drug application.
The drug has no approved U.S. competitors in KCNT1+ epilepsy. It has already picked up FDA fast track, rare pediatric disease and orphan drug designations, and has been accepted into the FDA’s Rare Disease Evidence Principles program.
Jazz said the acquisition extends its rare epilepsy portfolio beyond Epidiolex and deepens its position in severe epilepsies. The company also said the deal gives it an opportunity to pursue ABS-1230 in additional genetic epilepsy indications.
Under the agreement, Actio shareholders will receive the $820 million upfront payment plus the contingent value payments. At closing, Actio will spin out a separate private company focused on genetic rare neurological diseases, including its clinical-stage TRPV4 inhibitor ABS-0871 for Charcot-Marie-Tooth type 2C and other early-stage programs. Jazz will take a minority stake in that new company.
The transaction has been approved by both boards and is expected to close by the fourth quarter of 2026. Jazz said it plans to fund the purchase with cash on hand and existing financing facilities. Following these announcements, the company's shares moved 1.37%, and are now trading at a price of $260.07. If you want to know more, read the company's complete 8-K report here.
