By Associated Press - Thursday, May 8, 2014

CHARLOTTE, N.C. (AP) - Charlotte-based drug development company Chelsea Therapeutics has agreed to be acquired by a Danish pharmaceutical company for up to $658 million.

The Charlotte Observer reports (https://bit.ly/SEHqyr) that the transaction follows the Food and Drug Administration’s approval in February of Chelsea’s medication for treating dizziness and fainting in adults.

Chelsea is an early-stage drug development company. Lundbeck is planning to buy all outstanding shares of Chelsea for up to $7.94 a share, a 59 percent premium of the company’s closing price on Wednesday.



Northera is a medication meant to treat people suffering from dizziness, fatigue, and fainting upon standing in adults with Parkinson’s disease, multiple-system atrophy and other neurological disorders.

The deal is expected to close in the third quarter this year. Lundbeck is financing the acquisition with cash on hand.

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