(Alliance News) - AstraZeneca PLC on Tuesday said it has divested the rights to schizophrenia and bipolar disorder drugs Seroquel and Seroquel XR in the US and Canada to Germany's Cheplapharm Arzneimittel GmbH.
Astra will receive a GBP35 million upfront payment in cash from Cheplapharm, as well as potential sales-contingent payments up to a maximum of USD6 million. Cheplapharm already had agreed to acquire the rights to the two drugs in a majority of European markets, as well as in Russia.
The two atypical anti-psychotic drugs have lost their compound patent protection in the US and Canada. They are largely used to treat schizophrenia and bipolar disorder, although Seroquel XR - the extended release form of the drug - also is approved in some markets as a treatment for major depressive disorder and generalised anxiety disorder
In 2018, Seroquel sales totalled USD36 million in the US and Canada, while Seroquel XR sales were USD79 million in the two countries.
During a transition period, FTSE 100-listed pharma firm Astra will still manufacture and supply both Seroquel and Seroquel XR to Cheplapharm.
The sale does not alter Astra's 2019 financial guidance, it said.
Ruud Dobber, executive vice president of Astra's BioPharmaceuticals Business Unit, said: "This divestment supports our strategy of reducing the number of mature medicines to enable reinvestment in our main therapy areas. Cheplapharm recently agreed to acquire the commercial rights to Seroquel and Seroquel XR in most European markets and Russia from AstraZeneca and this new agreement will help ensure continued patient access to this important established medicine in North America as well."
Shares in AstraZeneca were down 0.7% at 7,369.00 pence in London in morning trade.
By Anna Farley; annafarley@alliancenews.com
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