Acquisition Adds Best in Class Body Contouring Business to Allergan
Allergan plc, a leading global biopharmaceutical company has successfully completed the acquisition of ZELTIQ Aesthetics Incorporated, a medical technology company behind a proprietary controlled cooling fat reducing treatment named CoolSculpting. Allergan acquired ZELTIQ Aesthetics for approximately $2.4/£1.86 billion in cash.
ZELTIQ stockholders approved the transaction during its stockholder meeting held on 27 April 2017. With the acquisition, Allergan adds ZELTIQs flagship CoolSculpting System, the sales leader in the fast growing cash pay body contouring segment of medical aesthetics. The combination is expected to be immediately accretive and makes body contouring the third pillar in Allergans global aesthetics portfolio, joining its leading facial aesthetics and plastic surgery & regenerative medicine businesses.
“We are thrilled to complete the acquisition of ZELTIQ, which immediately expands our world class global aesthetic business into the highly complementary and fast growing body contouring segment,” said Bill Meury, Chief Commercial Officer of Allergan. “CoolSculpting gives Allergan the most comprehensive and dynamic portfolio of products for plastic surgeons, dermatologists and other aesthetic providers across the globe.”
“In my practice, there is growing demand from patients for less invasive treatments for bothersome pockets of fat on their body. CoolSculpting addresses that need and we continue to see strong demand for the procedures because of its reliable ability to remove fat non invasively,” said Doctor Grant Stevens, Chief Medical Officer and Co-Founder of Orange Twist and Clinical Professor of Plastic Surgery at University of Southern California School of Medicine. “I am excited to see the CoolSculpting technology now being added to Allergans broad aesthetic product offering and eager to see how they will expand the opportunity for body contouring.”
The CoolSculpting System has been cleared by the U.S. Food and Drug Administration, with global IP rights, to affect appearance through lipolysis or reduction of unwanted fat using a patented cooling technology. CoolSculpting is marketed in more than eighty countries with entry into additional markets expected in 2017 and 2018. CoolSculpting works by gently cooling targeted fat cells in the body to induce a natural, controlled elimination of fat cells without affecting surrounding tissue. Body contouring is a $4/£3.09 billion market opportunity worldwide and growing.