Allergan acquires dermatology company Topokine Therapeutics

Ireland-incorporated Allergan (NYSE: AGN) says it has acquired Topokine Therapeutics, a privately held, clinical-stage biotechnology company focused on developing topical medicines for fat reduction.

Under the terms of the agreement, Botox maker Allergan acquired Topokine Therapeutics for an upfront payment of $85 million and success-based development and sales milestones for XAF5, a first-in-class topical agent in late-stage development for the treatment of steatoblepharon, also known as undereye bags.

This will be another addition to Allergan’s portfolio of prescription cosmetic products; last year it acquired Kythera and its double-chin reducing drug Kybella (deoxycholic acid) for $2.1 billion (The Pharma Letter June 17, 2016). Allergan was the subject of what would have been the biggest-ever ($160 billion) M&A pharma transaction, when Pfizer backed out of its tax-inversion motivated deal to acquire the company after negative changes to US tax laws (The Pharma Letter April 6).