AZ acquires Pearl to boost respiratory portfolio

In a move to strengthen its respiratory portfolio, AstraZeneca (AZ) has announced it is to acquire Pearl Therapeutics in a deal worth up to US $1.15bn.

The acquisition will allow AZ access to California-based Pearl's potential new treatment for chronic obstructive pulmonary disease (COPD). PT003, which is a fixed dose combination of formoterol fumarate and glycopyrrolate, is currently in late-stage development. AZ will also have access to inhaler and formulation technology that provides a platform for future combination products.

Under terms of the agreement, AZ will acquire 100% of Pearl's shares for initial consideration of $560 million payable on completion. As well as development, regulatory and sales milestone payments, the total potential acquisition cost comes up to US $1.15 billion.

"Chronic obstructive pulmonary disease continues to increase worldwide and there is a growing need for the next generation of inhaled combination products. Pearl's novel formulation technology, together with its development products and specialist expertise are a great complement to AstraZeneca's long-established capabilities in respiratory disease, one of our core therapy areas. Combined with our on-market portfolio, including Symbicort, and our strong pipeline, the agreement will enable us to offer further distinctive treatment options across the full spectrum of COPD and asthma to patients, physicians and payers."

Pascal Soriot, Chief Executive Officer of AstraZeneca.

The proposed transaction is subject to customary regulatory approvals and is expected to close in the third quarter of 2013. It has no impact on AZ's 2013 financial guidance.