Spectrum Pharmaceuticals is selling its portfolio of seven FDA-approved haematology/oncology products to Aurobindo Pharma subsidiary Acrotech Biopharma.
The transaction will see Acrotech pay $160 million upfront and up to $140 million in regulatory and sales-based milestones.
The portfolio is comprised of: Fusilev (levoleucovorin); Folotyn (pralatrexate injection); Zevalin (ibritumomab tiuxetan); Marqibo (vinCRIStine sulfate LIPOSOME injection); Beleodaq (belinostat) for injection; Evomela (melphalan) for injection, and Khapzory (levoleucovorin).
The products generated combined sales of $76.4 million during the first nine months of 2018.
“This divestiture marks a major strategic shift for Spectrum to ensure laser-focus on novel, oncology drug development and commercialisation,” said Joe Turgeon, President and CEO of Spectrum Pharmaceuticals.
“The proceeds generated by the sale will significantly strengthen the financial position of the company, providing the capital to develop and commercialize our two late-stage pipeline assets, and placing us in a solid position to evaluate additional growth opportunities.”
He added: “Along with this divestiture, the majority of impacted staff will transition to Acrotech thereby right sizing Spectrum for our development efforts.
“Additionally, we are retaining a core group of commercial talent to lead the launch of Rolontis and poziotinib.”