Unanimously approved by both companies’ boards, the transaction is expected to close by the fourth quarter (Q4) of 2026, pending customary closing conditions.
Jazz Pharmaceuticals plans to fund the acquisition with a combination of cash on hand and existing financing facilities.
Actio Biosciences’ main clinical asset, ABS-1230, is a small molecule inhibitor targeting the potassium sodium-activated channel subfamily T member 1 (KCNT1) ion channel.
It is being investigated for the treatment of KCNT1+ epilepsy, a rare genetic developmental and epileptic encephalopathy.
KCNT1+ epilepsy typically presents in infancy, resulting in frequent and treatment-resistant seizures and significant developmental delays.
Few patients achieve basic milestones, and the disease can be fatal during childhood. For patients whose disease manifests later, symptoms often include disruptive night-time seizures, along with psychiatric and cognitive complications.
There are currently no therapies approved by the US Food and Drug Administration (FDA) for this condition.
ABS-1230 is currently being studied in the ongoing Phase Ib/IIa KYRON trial, which aims to serve as a registrational study in support of a future new drug application in the US.
The asset has secured FDA fast track, rare paediatric disease and orphan drug product designations, and has been accepted into the FDA’s Rare Disease Evidence Principles programme.
As part of the deal, Actio Biosciences will spin out a new private company focused on genetic rare neurological diseases, retaining certain personnel and assets except for ABS-1230. Jazz Pharmaceuticals will hold a minority equity interest in this new entity.
Jazz Pharmaceuticals president and CEO Renee Gala said: “The acquisition of ABS-1230 represents a highly strategic expansion of our rare epilepsy portfolio, building upon the global success of Epidiolex and deepening our leadership in rare and severe epilepsies.
“The emerging clinical profile of ABS-1230 is highly encouraging, and we look forward to closing the proposed transaction and collaborating with our new Actio Biosciences colleagues to address an urgent patient need.”
Financial advisor for Jazz Pharmaceuticals is Moelis & Company, with Hogan Lovells Cadwalader US serving as legal advisor. Actio Biosciences’ financial advisors are J.P. Morgan Securities and Centerview Partners, with legal counsel from Cooley.