March 14 (Reuters) - Drugmaker AstraZeneca said on Thursday it would acquire rare endocrine diseases-focused firm Amolyt Pharma for $1.05 billion in cash, in a bid to boost its rare diseases portfolio.
Amolyt, backed by investors including Danish drugmaker Novo Nordisk's parent firm Novo Holdings and EQT Life Sciences, is currently in the late-stage development of a therapy for hypoparathyroidism.
The deal, which includes an $800 million upfront payment and additional contingent payment of $250 million on achieving a specified regulatory milestone, is expected to close by the third quarter of 2024.
In almost a decade since AstraZeneca fended off a takeover by U.S. rival Pfizer, CEO Pascal Soriot has rebuilt the Anglo-Swedish drugmaker's pipeline, which includes 13 blockbuster medicines - those that generate more than $1 billion in annual sales.
Last month, Soriot said it was a "good time" for the company to do deals. The deal for Amolyt comes amid a string of acquisitions including a licensing deal late last year that gave AstraZeneca an entry into the booming anti-obesity drug market.
Revenue from the company's rare diseases portfolio, boosted by the $39 billion acquisition of Alexion in 2021, have also swelled in recent years, clocking nearly $7.8 billion in 2023.
Reporting by Eva Mathews in Bengaluru; Editing by Savio D'Souza and Rashmi Aich
Source: Reuters