CytoGam Acquisition Strengthens ZLB Behring's Immunoglobulin Portfolio
This article was originally published in The Pink Sheet Daily
Executive Summary
MedImmune divests the transplantation treatment to ZLB Behring for an up-front payment of $50 mil.
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Plasma biotherapeutics marketer ZLB Behring plans to acquire MedImmune's organ transplantation product CytoGam (cytomegalovirus immune globulin intravenous (human)) for an up-front payment of $50 mil., the King of Prussia, Pa.-based company announced Nov. 8. An additional $70 mil. could be paid to MedImmune by ZLB based on cumulative net sales milestones. The acquisition will complement ZLB's existing portfolio of plasma-derived therapies, the firm said. The treatment is indicated for the prophylaxis of cytomegalovirus disease associated with organ transplantation, which fits into the company's mission of providing critical therapies to small patient populations, ZLB added. ZLB's products include treatments for hemophilia, von Willebrand Disease, immune deficiency disorders and cardiac surgery patients. In January, ZLB saw the approval of its novel patient-administered immunoglobulin Vivaglobin (1 (Also see "ZLB Behring’s Vivaglobin Is First Patient-Administered Immunoglobulin Therapy" - Pink Sheet, 10 Jan, 2006.)). The company's commercial organization includes a sales force of about 80 reps in the U.S. "The company plans a modest increase in its sales organization to support CytoGam," ZLB told "The Pink Sheet" DAILY. For MedImmune, the divestiture marks the sale of a non-core asset. However, CytoGam was MedImmune's first commercial product, launched in 1992. More recently, MedImmune has faced supply issues with CytoGam, which were resolved in August when the company signed a new contract manufacturer for the therapy (2 (Also see "MedImmune Finds New Manufacturer For CytoGam" - Pink Sheet, 25 Aug, 2006.)). "CytoGam no longer fits into our core areas of focus," MedImmune said. "MedImmune intends to redeploy the proceeds from the sale of CytoGam into areas consistent with our strategic focus on the development of novel, proprietary products for infectious diseases, cancer and inflammatory diseases." - Jessica Merrill ([email protected]) |