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Multinational drugmaker Pfizer Ltd has agreed to buy AstraZeneca’s heartburn drug “Neksium” in India for Rs 75 crore.
The drug is used to treat gastroesophageal reflux disease (GERD and internationally, Pfizer had inked an agreement with AstraZeneca in 2012 to acquire the global rights for the over-the-counter rights on Nexium (esomeprazole magnesium) for $ 250, with royalty payments to Sweden-based AstraZeneca.
The India transaction though is on AstraZeneca’s prescription drug Neksium that was launched here in 2006. Pfizer would be acquiring on the brand and trademark, the company clarified. The product belongs to the classification called ‘Proton Pump Inhibitors’ (PPI) used to reduce acid secretion in the stomach.
“The Neksium acquisition is aligned with our stated ambition of portfolio expansion through organic and inorganic growth in our focus therapy areas. With this acquisition, we will accelerate our growth and strengthen our leadership position in the Gastrointestinal (GI) therapy area.” Pfizer India Managing Director S. Sridhar said in a statement. Its other brands in the antacid space include Gelusil and Mucaine.
Last year, Pfizer had agreed to buy AstraZeneca’s small antibiotics business globally in a $ 1.5 billion deal. In the past though, Pfizer and AstraZeneca’s relationship has been tumultuous after Pfizer made a $ 100 billion plus bid to acquire AstraZeneca in 2014.
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