Meda acquires rights to anti-inflammatory product Relifex from GlaxoSmithKline.
Meda acquires rights to anti-inflammatory product Relifex from GlaxoSmithKline. Meda AB (Meda), a specialty pharmaceuticals company based in Sweden, has agreed to a product deal with the GlaxoSmithKline Group (GSK) on Relifex - an anti-inflammatory medicine used by patients suffering from rheumatoid arthritis and pain disorders. According to the agreement Meda acquires the full exclusive rights to Relifex in a number of European markets including the UK, Netherlands, Spain, Sweden, Denmark, Norway, Finland and the Baltic countries. The deal includes some other smaller GSK products, and total turnover of the product package is around 70 MSEK on a 12-month basis. GSK will manufacture Relifex for Meda and will continue to make the product available in the US, where it is known as Relafen. Relafen recorded sales of UK£183 million last year in the US. Meda will finance the acquisition through a combined new share issue with preferential right for existing shareholders and loan finance. The board has decided, provided acceptance by the extra ordinary general meeting, to make a new share issue with preferential right for existing shareholders of 72 MSEK. Each block of three shares will entitle the holder to one new share at the price of 44 SEK. The new share issue is fully guaranteed by Meda's main shareholders, Volati BV and Stena Sessan Rederi AB. The board will call to an extra ordinary general meeting. Relifex competes in the market of the very newest selective COX-2 inhibitors and the NSAID (non-Steroidal Anti-inflammatory Drug) medications, indicated in the therapy of inflammation and pain. "The deal with GlaxoSmithKline represents a major step for Meda in establishing ourselves as a specialty pharmaceuticals company. Relifex is an established and well-documented product, which fits well into one of our therapeutic priorities, inflammation and pain. Relifex will together with Reumacon, which is now in phase III clinical trials, form a strong portfolio. Relifex represents a great opportunity for Meda exactly in line with our strategy, " says Anders Lönner, CEO of Meda. "This divestment of Relifex is part of our post merger priority setting and we are pleased to have concluded this agreement with Meda. We look forward to working with Meda in the future on other product opportunities." - Olivier Bohuon, Sr VP, European Commercial Operations, GlaxoSmithKline. Meda AB is a Swedish specialty pharmaceuticals company. Meda is listed on the OM Stockholm Stock exchange. Meda markets prescription and non- prescription medicines and medical technology equipment. GlaxoSmithKline - one of the world's leading research-based pharmaceutical and healthcare companies - is committed to improving the quality of human life by enabling people to do more, feel better and live longer. For further information, please contact: Anders Lönner, CEO, Meda Ph: +46 8 630 19 00 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/09/04/20010904BIT00780/bit0002.doc http://www.waymaker.net/bitonline/2001/09/04/20010904BIT00780/bit0002.pdf