BiQ: BiQAP Update for 05/01/26

Earlier today, Esperion Therapeutic (ESPR) announced it was to be acquired by ARCHIMED at a cash buyout price of $3.16 per share, plus $100M in aggregate contingent milestone payments.

https://www.esperion.com/news-releases/news-release-details/esperion-be-acquired-archimed

First, I want to congratulate all BiQ members who participated in Esperion! As a reminder, we don't chace buyouts at BiQ; my investing philosophy centers around identifying derisked, undervalued companies with assymetric upside potential, not to look for buyout candidates. However, while I feel this buyout was premature, as I would have preferred ESPR to operate independently to unlock maximum value, I'm still very happy with the win.

The CVRs are worth approximately $.30 per share (fully diluted) if all conditions are met, representing an additional potential 9.5% return for those who choose to hold their shares through deal closing, which I estimate will occur sometime in Q3 if all goes well.

I decided to close my position today so I could reallocate the cash elsewhere. The total gain on the position was just under 115%. The updated BiQAP and Realized Gains & Losses spreadsheets are shown below (BiQ Premium members can find the unredacted versions in the BiQ Member Library.)

BiQ Active Portfolio

BiQAP Prior Realized Gains & Losses

Please refer to the BiQ Active Portfolio page for additional information.

ESPR share price at time of publication: $3.11
BiQ ACB: $1.45

Please note that the BiQ ACB includes any open options positions, which are accounted for using a "worst case scenario" assumption, plus trading profits (and losses) around my core position.

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Biotech iQ is not an investment professional, and nothing on this page or this website should be considered investment advice. Please consult with a licensed investment professional as necessary. Past performance is not indicative of future results.