AstraZeneca Agrees to Pay $210 Million to Buy KuDOS (Update1)
Dec. 23 (Bloomberg) -- AstraZeneca Plc, the U.K.'s second- largest drugmaker, agreed to pay $210 million to acquire KuDOS Pharmaceuticals Ltd., a closely held U.K. biotechnology company that develops cancer medicines.
AstraZeneca expects the cash transaction to be completed in ``early 2006,'' the London-based company said in a Regulatory News Service statement.
AstraZeneca has been dependent on sales of older products including the ulcer medicine Nexium and the schizophrenia treatment Seroquel and on cost reductions to boost profitability. The company is hoping, like European rivals including Novartis AG, to use acquisitions and partnerships to expand drug offerings in coming years.
Just yesterday, AstraZeneca agreed to pay as much as $1 billion for an experimental AtheroGenics Inc. pill for clogged arteries that can cause heart attacks and strokes.
KuDOS Pharmaceuticals, which employs about 75 people, is currently owned by investment funds including BankInvest Biomedical Venture, Johnson & Johnson Development Corporation, Life Science Partners, 3i Group Plc and SV Life Sciences. Lazard Ltd. advised shareholders on the transaction. |
