AstraZeneca will sell the commercial rights to prescription medicine for the treatment of heart failure and hypertension, Atacand and Atacand Plus in Europe to Cheplapharm Arzneimittel GmbH, for $200 million on completion of the agreement, plus a time-bound payment of $10 million and sales-contingent milestones. Mark Mallon, Executive Vice President, Global Product & Portfolio Strategy at AstraZeneca, said: “This agreement forms part of our strategy of streamlining our portfolio of mature medicines to enable reinvestment in our main therapy areas and bringing new medicines to patients. Cheplapharm’s strong European presence will help expand the commercial potential of Atacand.”
According to AstraZenecas expectations, the agreement should complete in the third quarter of 2018. AstraZeneca will continue with production and supply of Atacand and Atacand Plus under a supply agreement and will deal with the medicines in all markets where it still holds the rights.
Financial considerations
AstraZeneca said that the payments should be reported in the its financial statements in 2018, as Other Operating Income. In 2017, global Product Sales for Atacand and Atacand Plus were $300 million, including $86 million in Europe.