AstraZeneca has completed its previously announced commercialization agreement with Aspen Global Incorporated (AGI), part of the Aspen Group, for rights to its global anesthetics portfolio outside the US. The closing covers all markets except Ukraine and Zimbabwe, which are subject to separate closing. AstraZeneca first announced the divestment in June 2016.

The agreement covers seven established medicines: Diprivan (general anesthesia), EMLA (topical anesthetic) and five local anesthetics (Xylocaine/Xylocard/Xyloproct, Marcaine, Naropin, Carbocaine and Citanest).

Under the agreement, AGI acquires the commercialization rights, outside the US, to AstraZeneca's portfolio of anesthesia medicines for an upfront consideration of $520 million. Additionally, AGI will pay AstraZeneca up to $250 million in a product sales-related payment, as well as double-digit percentage trademark royalties on product sales. AstraZeneca will manufacture and supply the products on a cost plus basis to AGI for an initial period of 10 years. Upon completion, Aspen will assume responsibility for all activities relating to the sale of the portfolio in all relevant markets.

The commercial activities will transition to AGI in the short to medium term in accordance with an agreed plan. During the transition period AstraZeneca will continue to provide certain commercialization services to AGI.

AstraZeneca's portfolio of anesthesia is available in over a hundred countries worldwide, including key markets such as China, Japan, Australia and Brazil. The portfolio had global product sales in 2015 of $592 million. The US rights to the products were divested to Abraxis, now part of Fresenius Kabi, in 2006.

Source: AstraZeneca and Aspen Holdings