Aralez acquires US rights to AstraZeneca high blood pressure drug Toprol-XL

Toprol-XL is an extended-release tablet that belongs to a family of high blood pressure medications dubbed beta-blockers. It is indicated for control of hypertension, angina, and heart failure.

In connection with the transaction, the companies entered into a supply agreement under which AstraZeneca will continue to manufacture and supply Toprol-XL and its authorized generic (AG) to Aralez Ireland for about ten years.

The company will also continue product distribution on behalf of Aralez Ireland until it is transferred.

Aralez paid $175m upfront at closing and has agreed to pay AstraZeneca an additional up to $48m in payments related to achieving sales and other milestones.

The company also agreed to pay mid-teen percentage royalties on sales.

Aralez CEO Adrian Adams said the completion of the acquisition expands position in the treatment of cardiovascular disease and significantly enhances its financial wherewithal with a more diversified revenue stream.

"The strong cash flow from the transaction is expected to accelerate our profitability to 2017 on an adjusted basis, while also offsetting launch costs for both YOSPRALA and ZONTIVITY.”

Toprol-XL, which is supplied as 25mg, 50mg, 100mg and 200mg tablets designed for oral administration, was studied in patients already receiving ACE inhibitors, diuretics, and, in the majority of cases, digitalis.

It decreased the rate of mortality and hospitalization, largely via a reduction in cardiovascular mortality and hospitalizations for heart failure.