Vanda Rejects New Cycle Bid, Maintains Confidence Amid FDA Challenges

Vanda Pharmaceuticals has rejected Cycle Pharmaceuticals' second unsolicited takeover bid, which valued Vanda's shares at $8.00 each, or $488 million in total, a proposal Vanda considers undervalued[1][2]. This bid followed the FDA's denial of Vanda’s drug, tradipitant, for gastroparesis treatment[1]. Despite setbacks, including a failed Phase III trial and FDA issues, Vanda remains confident in its strong cash position and long-term value[1]. Prior to this, Cycle had made a similar attempt in June 2024 amid another FDA rejection regarding Vanda's drug Hetlioz[1][2].