Horizon Pharma gets US rights for Vimovo from AstraZeneca

19 November 2013

USA-based Horizon Pharma (Nasdaq: HZNP) has entered into an agreement to acquire from Anglo-Swedish drug major AstraZeneca (LSE: AZN) US rights to arthritis drug Vimovo (naproxen/esomeprazole magnesium) delayed-release tablets, further expanding Horizon's focus on key primary care physician targets in the USA.

The company will make a one-time upfront payment of $35 million to AstraZeneca for the US rights and will pay a 10% royalty on net sales to Pozen (Nasdaq: POZN), subject to annual minimum royalties of $5 million in 2014 and $7.5 million each year thereafter, provided that the patents owned by Pozen which cover Vimovo remain in effect and no generic forms of Vimovo are on the market. For the remainder of the fourth quarter of 2013, AstraZeneca will continue to distribute and book revenues for Vimovo and Horizon will receive any related net profits from AstraZeneca.

Ex-US rights to stay with AstraZeneca

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