AstraZeneca announced that it has entered into a deal with Genzyme to sell Caprelsa (vandetanib), a rare disease medicine. The sale will sharpen the company’s focus, a headline on a release stated.
Caprelsa was granted Orphan Drug Designation by the US FDA in 2005 and is currently available in 28 countries for the treatment of an aggressive type of thyroid cancer. Global sales were $48 million in 2014.
Genzyme, which is based in Cambridge, MA is part of Sanofi, a French pharmaceutical giant.
Genzyme will pay AstraZeneca up to $300 million, including an upfront payment of $165 million to acquire the global rights to sell and develop Caprelsa, and further development and sales milestone payments of up to $135 million. The transaction does not include the transfer of any AstraZeneca employees or facilities.
Luke Miels, executive vice president, Global Product & Portfolio Strategy and Corporate Affairs, AstraZeneca, said: “Caprelsa is a rare disease therapy and the divestment to Genzyme, an expert leader in endocrinology, demonstrates our commitment to ensure patients continue to have access to this medicine while we sharpen our focus on key disease areas.”
Genzyme’s CEO, David Meeker, MD, said: “The addition of Caprelsa represents a strong strategic fit for our rare endocrinology portfolio and underscores Genzyme’s commitment to addressing unmet needs in the thyroid community. We look forward to bringing our rare disease expertise to appropriate patients with advanced stage thyroid carcinoma.”
The divestment transaction is subject to closing conditions, including the receipt of antitrust clearance from the US Federal Trade Commission. The transaction is expected to complete in the second half of 2015 and does not impact AstraZeneca’s financial guidance for 2015, the release stated.
AstraZeneca employs about 2,500 in northern Delaware. The company has been dealing with a “patent cliff” for blockbuster products like heartburn drug Nexium and mental health drug, Seroquel and has been adding and subtracting from its pipeline portfolio.
