CVRs address risks in billion-dollar AZ-CinCor, Ipsen-Albireo deals

Furthering the trend of biopharma M&A around late-stage and commercial assets that may prosper in larger companies’ hands, AstraZeneca’s deal for CinCor and Ipsen’s buyout of Albireo each tie future milestones to CVRs, accommodating some risk associated with key programs.

AstraZeneca plc (LSE:AZN; NASDAQ:AZN) said Monday it would acquire CinCor Pharma Inc. (NASDAQ:CINC) for $26 per share up front, or about $1.3 billion, giving the pharma a late-stage therapy for hypertension. A contingent value right would add $10 per share, driving the deal’s value to about $1.8 billion...