The Federal Trade Commission on Friday said it reached a settlement with Amgen regarding its merger with Horizon Therapeutics, prohibiting the biopharmaceutical giant from "bundling," some of its products. Which refers to offering favorable terms on a product by selling it alongside other drugs.
The FTC in May had moved to block Amgen's $27.8 billion acquisition of Horizon Therapeutics, alleging that Amgen could use the negotiating power after the merger to entrench the monopoly positions on two highly priced Horizon drugs, Tepezza and Krystexxa, which treat thyroid eye disease and chronic refractory gout, respectively. The regulatory body on Friday said that Amgen would be prohibited from bundling a product with either of those two medications.
The deal means a federal court preliminary injunction action hearing on the case will be dismissed, allowing the merger to go ahead.
Amgen's stock moved up 1.4% to $259.90 while Horizon was up 2.8% to $115.85 in premarket trading on Friday.