AstraZeneca to stop selling Meronem drug in India as UK parent to sell antiobiotics biz to Pfizer

In a global deal, AstraZeneca UK will sell its small molecule antibiotics business to Pfizer Inc

PTI August 24, 2016 18:09:21 IST
AstraZeneca to stop selling Meronem drug in India as UK parent to sell antiobiotics biz to Pfizer

New Delhi: AstraZeneca Pharma India will stop selling anti-bacterial drug Meronem in India following a global deal by its parent AstraZeneca UK to sell its small molecule antibiotics business to Pfizer Inc.

The company has received a notice of termination from AstraZeneca UK conveying its decision for termination of distribution arrangements for Meronem in India, AstraZeneca Pharma India said in a regulatory filing.

AstraZeneca to stop selling Meronem drug in India as UK parent to sell antiobiotics biz to Pfizer

"The current distribution arrangement for Meronem in India will terminate in six months from today," it added.

This is a result of a global agreement by AstraZeneca PLC to sell the development and commercialisation rights to Pfizer Inc of its late stage small molecule antibiotics business, it said.

Meronem is anti-bacterial used for the treatment of serious infections in hospitalised patients.

The product is currently one of the company's principal products which generated 18 per cent total turnover of the firm in fiscal ended March 31, 2016.

The global transaction between AstraZeneca Plc and Pfizer is expected to close in the fourth quarter of 2106.

AstraZeneca today announced that it has entered into an agreement with Pfizer to sell the commercialisation and development rights of its late-stage small molecule antibiotics business in most markets globally outside the US.

As part of the deal which is estimated to be over $1.5 billion, Pfizer will make an upfront payment to AstraZeneca of $550 million upon completion and a further unconditional payment of $175 million in January 2019 for the commercialisation and development rights to the late-stage antibiotics business in all markets where AstraZeneca holds the rights.

In addition, Pfizer will pay up to $250 million in commercial, manufacturing and regulatory milestones, up to $600 million in sales-related payments as well as recurring, double-digit royalties on future sales of Zavicefta and ATM-AVI in certain markets.

AstraZeneca's antibiotic medicines Merrem and Zinforo are available in more than 100 countries and generated product sales of $250 million in 2015.

Updated Date:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

Pfizer, Moderna strike deals with Canadian govt to secure millions of COVID-19 vaccine doses
World

Pfizer, Moderna strike deals with Canadian govt to secure millions of COVID-19 vaccine doses

Millions of doses will be supplied by both firms, while the vaccines are still in development and negotiations continue with other suppliers.

Moderna, Pfizer move to include HIV-positive volunteers in Phase 3 trials of COVID-19 vaccines
science

Moderna, Pfizer move to include HIV-positive volunteers in Phase 3 trials of COVID-19 vaccines

Health organizations including the CDC recommend routine immunization for HIV-positive people, who have been unilaterally left out of vaccine trials so far.