Aralez Pharmaceuticals Inc. announced that its subsidiary, Aralez Pharmaceuticals Trading DAC (Aralez Ireland), has completed its acquisition of the U.S. rights to heart drug Toprol-XL and its authorized generic (AG) from AstraZeneca.
In connection with the transaction, the parties entered into a Supply Agreement pursuant to which AstraZeneca will continue to manufacture and supply Toprol-XL and the AG to Aralez Ireland for at least ten years.
AstraZeneca will also continue to distribute the product on behalf of Aralez Ireland until the product is transferred, which could be up to nine months following the closing under a transitional services agreement. Aralez is based in Canada.
The upfront amount of $175 million was paid at closing to AstraZeneca.
“We are pleased to announce the completion of the acquisition of the U.S. rights to Toprol-XL and its AG, which bolsters our position in the treatment of cardiovascular disease and significantly enhances our financial wherewithal with a more diversified revenue stream,” said Adrian Adams, CEO of Aralez.
Toprol-XL is an extended-release tablet that belongs to a family of high blood pressure medications known as beta-blockers. Extended-release tablets need to be taken only once a day. After swallowing Toprol-XL, the coating of the tablet dissolves, releasing a multitude of controlled release pellets filled with metoprolol succinate. Each pellet acts as a separate drug delivery unit and is designed to deliver metoprolol continuously over 24 hours.
The drug was first introduced in the late 1960s.
