AstraZeneca buys rights to potential obesity drug from Biovitrum

AstraZeneca has bought the rights to Biovitrum's leptin modulator programme aimed at treating obesity.

AstraZeneca will make an upfront payment of Euro 6m to Swedish pharmaceutical firm Biovitrum and milestone payments according to development progress and sales, as well as single-digit royalties. Biovitrum could receive payments totalling â"šÂ¬186m if a product is approved. The leptin modulator programme is currently in the preclinical phase.

Bjoern Wallmark, vice president, Cardiovascular & Gastrointestinal Research at AstraZeneca, said: "AstraZeneca is committed to working towards finding new solutions to health problems that stem from diabetes and obesity, two risk factors for cardiovascular disease. We are pleased that we have obtained this discovery programme. It increases the strength of our portfolio of compounds that can potentially lead to medicines that meet the needs of patients."

Peter Edman, chief scientific officer of Biovitrum, added: "We are very happy that this exciting and completely novel approach to treat obese patients will continue to be developed through AstraZeneca. We are sure that AstraZeneca will potentially add new treatment options for obese patients."

Biovitrum recently combined with Swedish Orphan to form Swedish Orphan Biovitrum. Biovitrum paid â"šÂ¬336m financed by a fully guaranteed rights issue, an issue in kind and bank financing.

Swedish Orphan will bring two proprietary orphan and niche drugs as well as a diverse in-licensing portfolio of approximately 50 orphan and niche drugs with significant growth potential to the combined group.

Biovitrum will contribute its haemophilia franchise, manufacturing capability, several marketed niche products, of which three are proprietary, as well as a late stage clinical development pipeline within rare diseases.

The combined group will generate sales from approximately 60 orphan/niche products plus a pipeline of two phase III and five phase II clinical product candidates to drive future growth.

"The two companies fit like a hand in a glove. In one giant leap, we form a company with a leading position within rare diseases and a solid platform for future growth and profitability," said Biovitrum ceo Martin Nicklasson.

"This is a truly complimentary and winning combination," added Swedish Orphan's ceo Bo Jesper Hansen.