AstraZeneca to transfer some drug rights to Covis Pharma in $270 million deal

(Reuters) -AstraZeneca said on Monday it will transfer global rights for respiratory medicines Eklira and Duaklir to Covis Pharma Group for $270 million, as the Anglo-Swedish drugmaker looks to offload its older portfolio of medicines.

The London-listed company also said that under the deal, which is expected to close in the fourth quarter of 2021, Covis will also cover certain ongoing development costs related to the medicines.

AstraZeneca, which has several new medicines in its pharmaceutical pipeline, including COVID-19 drugs and a vaccine, expects the agreement to help sharpen its focus on priority medicines in its respiratory and immunology portfolio.

Covis had previously acquired the rights to other respiratory medicines Alvesco, Omnaris and Zetonna from AstraZeneca in 2018.

Eklira and Duaklir, used to treat chronic obstructive pulmonary disease (COPD) or smokers' lung, had generated revenues of $143 million for AstraZeneca in geographies covered by a previous deal when the drugmaker had bought those rights.

(Reporting by Muhammed Husain in Bengaluru; Editing by Shounak Dasgupta and Uttaresh.V)