Nastech acquires Atossa Healthcare

Nastech Pharmaceutical Co has acquired privately-held Atossa Healthcare,in what it describes as "a strategic move designed to solidify Nastech's position as a leader in the development of therapeutics that are administered nasally." The merger also enables the company to develop new capabilities in the area of women's health, beginning with further development of Atossa's lead breast cancer diagnostic product. Financial terms of the agreement were not disclosed.

Devin Wenig, director and member of Nastech's executive committee, said that the acquisition of Atossa provides the firm with "a tremendous leverage opportunity and synergy within our core competency." He added that this is exemplified by Atossa's breast cancer risk assessment test and Nastech's key programs in pain management and sexual dysfunction, "all of which rely on nasal delivery."

Nastech's leading commercially-available product is Stadol NS (butorphanol tartrate), which is used to treat moderate to severe pain including migraine and is marketed in the USA by Bristol-Myers Squibb. It was also noted that Steven Quay, the founder of Atossa, has been named as chief executive of Nastech. He was also the founder of Sonus Pharmaceuticals.