collegium pharmaceutical inc said monday it is buying biodelivery sciences international inc 560 a share in cash collegium said the deal would improve its financial position through increased revenue scale immediate and significant earnings accretion and accelerated cash flow generation led by identified annual run rate matches of at least 75 million expected to be achieved within 12 months of closing the offer price represents a 54 premium to biodelivery sciencess friday closing share price of 364 and implies a fully diluted equity value of 604 million using the treasury stock method the allcash consideration will be funded by a combination of collegiums existing cash on hand and a 650 million secured financing from funds managed by pharmakon advisors lp with a fouryear term as part of the transaction collegium will repay its term loan from pharmakon and the existing biodelivery sciences term loan from pharmakon collegium expects this transaction to be highly accretive to earnings in 2022 and 2023 the transaction is expected to close late in the first quarter 2022 biodelivery sciences shares were up 50 to 547 in premarket trade