Vertex Pharmaceuticals Incorporated, known as Vertex, has completed its acquisition of Alpine Immune Sciences, Inc., for approximately $5.0 billion in cash, as previously disclosed on May 20, 2024. The acquisition, referred to as the Alpine Acquisition, is expected to be accounted for as an asset acquisition by Vertex. As a result, Vertex anticipates recording a one-time, non-deductible Acquired In-Process Research & Development (AIPR&D) expense of about $4.4 billion during the second quarter of 2024. This expense will affect both GAAP and non-GAAP operating expenses and net income for the second quarter and the full year of 2024, as well as the financial guidance for the full year. Additionally, Vertex is expected to incur around $200 million in transaction-related compensation expenses due to...Show More

Vertex Pharmaceuticals Incorporated, known as Vertex, has completed its acquisition of Alpine Immune Sciences, Inc., for approximately $5.0 billion in cash, as previously disclosed on May 20, 2024. The acquisition, referred to as the Alpine Acquisition, is expected to be accounted for as an asset acquisition by Vertex. As a result, Vertex anticipates recording a one-time, non-deductible Acquired In-Process Research & Development (AIPR&D) expense of about $4.4 billion during the second quarter of 2024. This expense will affect both GAAP and non-GAAP operating expenses and net income for the second quarter and the full year of 2024, as well as the financial guidance for the full year. Additionally, Vertex is expected to incur around $200 million in transaction-related compensation expenses due to the acceleration of unvested awards from Alpine's equity incentive plans during the same quarter. These expenses will also impact Vertex's GAAP operating expenses and net income for the second quarter and full year of 2024. Despite these expenses, Vertex plans to incorporate Alpine's non-GAAP R&D and SG&A expenses into its operating expense guidance range for the remainder of 2024, as provided on May 6, 2024. The report contains forward-looking statements subject to risks and uncertainties, and while Vertex believes these statements are accurate as of the date of the report, actual results could differ materially.