 "Aurobindo Pharma acquires 7 oncology products from US company for $300 mn")
Aurobindo Pharma said Saturday it has completed the acquisition of seven marketed oncology injectable products, intellectual property and commercial infrastructure from Spectrum Pharmaceuticals Inc, a US-based global branded oncology company by Acrotech Biopharma.
In January, Aurobindo Pharma had said it will acquire a portfolio of seven branded oncology injectable products from Spectrum Pharmaceuticals Inc in a $300 million deal (over Rs 2,100 crore) which includes an upfront cash payment of $160 million.
"We would like to inform you that the acquisition has been completed on March 1," Aurobindo Pharma said in a regulatory filing to the BSE.
According to the definitive agreements inked between the two companies, Acrotech Biopharma LLC, a subsidiary of Aurobindo, will pay an upfront purchase price of USD 160 million in cash plus up to USD 140 million on achieving regulatory and sales-based milestones for the seven products.
Acrotech will be acquiring the product portfolio on a debt free and cash free basis, Aurobindo Pharma Ltd said in a regulatory filing earlier.
The acquisition will help Hyderabad-based company to enter the branded oncology market in the US with a range of products which are well recognised in the segment, it added.
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As part of the deal, the drug firm will also acquire a well-established and experienced branded commercial infrastructure in the US to continue commercialising these brands, the company had said.
The product portfolio is expected to generate a revenue of around $100 million for first 12 months after completion of the transaction for Aurobindo, the company had said.