Dr. Reddy’s Divests Rights to Two Neurology Products to Upsher-SmithBy
Dr. Reddy’s Laboratories, a Hyderabad, India-based pharmaceutical company, has entered into a definitive asset purchase agreement with Upsher-Smith Laboratories, a generics and brands pharmaceutical company, in which Dr. Reddy’s would sell its US and select territory rights for Zembrace Symtouch (sumatriptan injection) 3 mg and Tosymra (sumatriptan nasal spray) 10 mg.
Under the agreement, Dr. Reddy’s will receive $70 million as an upfront payment, $40.5 million in near-term milestones, and additional financial considerations, including existing contractual obligation and inventory. Dr. Reddy’s will also receive sales-based royalties on a quarterly basis.
Zembrace and Tosymra are currently commercialized through Dr. Reddy’s wholly owned subsidiary, Promius Pharma LLC. Tosymra and Zembrace were designed and developed for patients experiencing episodic migraines who needed options other than their current therapies, according to Promius Pharma.
The closing of the transaction is subject to various customary closing conditions, including antitrust review under Hart-Scott-Rodino Act.
Source: Dr. Reddy’s