CATALYST PHARMACEUTICALS, INC.

What they do

Catalyst Pharmaceuticals develops and commercializes prescription medicines for people with rare and debilitating diseases. It sells branded products including FYCOMPA and AGAMREE and sources active pharmaceutical ingredients and finished drug products from both U.S. and foreign suppliers, purchasing AGAMREE active ingredients from Santhera and FYCOMPA supplies from Eisai through at least the end of 2029. The company is headquartered in Coral Gables, Florida and is incorporated in Delaware.

Revenue drivers

• FYCOMPA — A commercial product for which Catalyst purchases supplies from Eisai through at least the end of 2029; contributes to the company's net revenue.
• AGAMREE — A commercial product for which active ingredients are currently purchased from Santhera while Catalyst works to complete its own manufacturer arrangements.
• Other commercial products — Catalyst markets approved therapies for rare diseases and sells products both inside and outside the United States.

Recent performance

Annual revenue grew from $140.8 million in 2021 to $589.0 million in 2025, with net income of $214.3 million and diluted EPS of $1.68 in 2025. Operating cash flow was $208.7 million in 2025, down from $239.8 million in 2024. For the first quarter of 2026 (ended March 31, 2026), revenue was $149.4 million, and the balance sheet showed total assets of $1.15 billion and shareholders' equity of $1.01 billion. Cash and equivalents stood at $755.9 million at March 31, 2026.

Strategy

Catalyst is focused on commercializing therapies for rare diseases and is working to complete its own manufacturer arrangements for AGAMREE. On May 6, 2026, the company entered into a Merger Agreement to be acquired by Angelini Pharma, with the closing expected in the third quarter of fiscal year 2026. The Merger Agreement restricts Catalyst, without Angelini Pharma's consent, from making certain acquisitions and investments, accessing debt and capital markets, and taking other specified actions until closing or termination. The company has incurred and will continue to incur significant costs, expenses, and fees for professional services and other transaction costs in connection with the Merger.

Risks

• Merger closing uncertainty — The proposed acquisition by Angelini Pharma is subject to regulatory and stockholder approvals and other conditions, and may not close or could be delayed.
• Termination fee — Catalyst may be required to pay a termination fee of approximately $155.5 million to Angelini Pharma and reimburse certain out-of-pocket expenses if the Merger Agreement is terminated for specified reasons.
• Pharmaceutical tariffs — Proposed U.S. tariffs on pharmaceutical imports could increase costs and delay clinical trials and manufacture, as Catalyst sources API and finished drug products from foreign suppliers.
• Most Favored Nation pricing — The Trump Administration has discussed MFN pricing for drugs, which could affect reimbursement and pricing for Catalyst's products, though Catalyst has not been invited to negotiate similar deals.

Outlook

Catalyst currently expects the Merger with Angelini Pharma to be completed in the third quarter of fiscal year 2026. The company notes that the Merger may not occur on the expected timeline because of delays in receiving required regulatory approvals, stockholder approvals, or other reasons. Management has not provided revenue or earnings guidance for future periods in the excerpts reviewed.