Pfizer to buy ADHD drugmaker, NextWave Pharma
Pfizer is to acquire NextWave Pharmaceuticals, which specializes in the development and commercialization of unique products for the treatment of ADHD and related central nervous system disorders, in a deal worth as much as US $700 million.
Pfizer had previously established a merger agreement with NextWave with a $20 million option payment in the second quarter of 2012. Today, the company is exercising its option to acquire NextWave Pharma. Pfizer will pay $255 million when the deal closes and has agreed to pay a further $425 million based on sales milestones.
NextWave is the developer of Quillivant XR (methylphenidate hydrochloride) for extended-release oral suspension. Quillivant XR is the first once-daily liquid medication approved by the FDA for the treatment of ADHD in the US. This approval was in September 2012 and the drug is expected to be available in US pharmacies in January 2013.
“This agreement demonstrates our focused expansion of the Established Products U.S. brands business to offer a diverse portfolio of high-quality medicines that meet patients’ needs. By combining the advantages of Quillivant XR with Pfizer’s commercialization expertise, we will be able to provide ADHD patients and their caregivers a new treatment option.”
Albert Bourla, president and general manager in Pfizer’s Established Products Business Unit.
ADHD (attention deficit hyperactivity disorder) is one of the most common neurobehavioral disorders in the United States. Almost 1 in 10 children in the US, aged between 4 and 17, have at some time received a diagnosis of ADHD, according to the Centers for Disease Control and Prevention 2009 report. The condition often lasts into adulthood, with adult ADHD affecting an estimated 4% of Americans.
Pfizer will buy NextWave Pharma for up to $700M (Wall Street Journal)
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