Eiger BioPharmaceuticals, Inc.

Client Profile

Founded in 2008, Eiger is a commercial-stage biopharmaceutical company focused on the development of innovative therapies for the treatment of rare and ultra-rare diseases in patients with high unmet medical needs and for which no approved therapies exist. The Company successfully commercialized Zokinvy (lonafarnib) for the treatment of Hutchinson-Gilford progeria syndrome, an ultra-rare, fatal, genetic premature aging disease

Situation

In September 2023, Eiger suspended a late-stage Phase 3 study amid safety concerns and subsequently determined that advancing its pipeline would not be feasible without an extensive cash infusion. Despite the commercialization of Zokinvy and progress advancing its other Phase 3 pipeline assets, Eiger was unable to close an out-of-court transaction that would provide sufficient liquidity for the Company to continue operations in the normal course. On April 1, 2024, Eiger filed for protection under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Northern District of Texas (Dallas Division) to institute a sale process designed to maximize value for all the stakeholders and ensure the continuity of therapeutic access for progeria syndrome patients worldwide.

Solution

SSG was retained in March 2024 as Eiger’s exclusive investment banker to solicit competing offers to the proposed stalking horse bid for the Zokinvy assets and concurrently run a marketing process for the remaining pipeline assets of Eiger on a separate timeline. The accelerated process for the Zokinvy assets garnered substantial interest from multiple parties worldwide. A qualified competing bid for the Zokinvy assets was submitted by the bid deadline and an auction was held on April 17, 2024. After 35 rounds of bidding, the Stalking Horse bidder produced the highest and best offer for the Zokinvy assets, at a gross purchase price of $46.1 million in cash. SSG’s extensive Chapter 11 transaction experience, expertise creating a competitive bid environment and knowledge of the biopharmaceutical industry resulted in a process where value was maximized in an expedited time frame.