Key takeaways:

• Alkermes completed its acquisition of Avadel Pharmaceuticals plc, adding LUMRYZ, a once-at-bedtime treatment for cataplexy or excessive daytime sleepiness in narcolepsy, to Alkermes’ commercial portfolio.
• The deal is expected to be accretive in 2026 and supports the upcoming phase 3 program for the pipeline candidate alixorexton.
• Avadel shares have ceased trading on the Nasdaq Global Market following the completion of the scheme of arrangement.

Alkermes plc has completed its acquisition of Avadel Pharmaceuticals plc. The transaction integrates Avadel’s FDA-approved product, LUMRYZ, into Alkermes’ commercial portfolio and provides the company with an experienced commercial organization in the sleep medicine space.

The acquisition was finalized on Feb 12, 2026, following approval by the Irish High Court. With the scheme of arrangement effective, Avadel shares ceased trading on the NASDAQ Global Market.

LUMRYZ (sodium oxybate) for extended-release oral suspension is approved for the treatment of cataplexy or excessive daytime sleepiness in patients seven years of age and older with narcolepsy. Since its launch in 2023, the product has seen strong demand within an estimated population of more than 50,000 oxybate-eligible narcolepsy patients in the US.

“With the close of this acquisition, Alkermes achieved an important milestone in the continued advancement of our strategy, accelerating our entry into the commercial sleep medicine market at a pivotal moment as we work to initiate the planned phase 3 program for alixorexton in narcolepsy this quarter,” says Richard Pops, CEO of Alkermes, in a release. “Avadel’s commercial and R&D portfolio, established commercial infrastructure, and talented team strengthen our organization and expand our capabilities in this important therapeutic area.”

In addition to LUMRYZ, the acquisition includes valiloxybate, a salt-free, once-at-bedtime oxybate candidate currently in phase 1 clinical development. The deal is intended to enhance Alkermes’ ability to develop treatments for central disorders of hypersomnolence and other neurological disorders.

Alkermes financed the acquisition using approximately $775 million of cash from its balance sheet and $1.525 billion in term loans due in 2031. The company expects the transaction to be accretive in 2026 and plans to pay down the debt quickly through business cash flows.

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