Valeant sells hep C drug to Three Rivers for $70.8 million plus

Valeant Pharmaceuticals International has signed a definitive agreement to divest the US and Canadian rights to the hepatitis C drug Infergen (interferon alfacon-1) to fellow US drugmaker Three Rivers Pharmaceuticals for about $70.8 million in cash on closing, and up to $20.5 million in two non-contingent payments over the following 18 months. Under the terms of the deal, expected to close in the first quarter, Three Rivers will also acquire the remaining product inventory from Valeant.

"The sale of Infergen to Three Rivers is an important step forward in executing our strategy of simplifying our operations," said Timothy Tyson, Valeant's chief executive. "We believe that by focusing our resources on products and regions where we have the greatest potential for market share growth and profitability, we will be able to improve our margins and yield better long-term shareholder value," he added.

Infergen, or consensus interferon, is a bio-optimized, selective and highly potent type 1 interferon alpha originally developed by Amgen and launched in the USA in 1997. It is currently indicated as monotherapy for the treatment of adult patients suffering from chronic hepatitis C viral infections with compensated liver disease and is dosed three times per week.