In a bid to beef up its respiratory drug business, AstraZeneca purchased the rights to Almirall's lung medicines on Wednesday in a deal valued at up to US$2.1 billion.

After refusing Pfizer's US$118-billion takeover offer in May, AstraZeneca said it would initially pay US$875 million and pay another $1.22 billion if Almirall's drugs hit their sales targets. The transaction is a key step in securing a strong and independent future for the British pharmaceutical giant.

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Reuters reports that the deal provides Almirall a new set of resources to strengthen its focus on the field of dermatology. In the last three years, the Spanish drug firm has displayed outstanding performance in the market.

For AstraZeneca, the transaction gives it the rights to the development and commercialization of Almirall's present lung products including Eklira and its set of experimental treatments. Under the terms of the deal, AstraZeneca would also acquire some of Almirall's respiratory business employees and Almirall Sofotec, a subsidiary that develops devices for the delivery of lung drugs.

The most important benefit that AstraZeneca gains from the deal is the access to Eklira revenues. The drug will give the British firm an immediate boost in sales as the patents on its famous medicines near expiry.

According to Edison Investment Research analyst Mick Cooper, AstraZeneca made a "smart" move when it entered the deal with Almirall because it would give its respiratory business a major boost. The said business is already soaring and its Symbicort drug is winning over Advair of GlaxoSmithKline.

For Admirall group, the agreement would help its earnings climb fast.

In a statement, AstraZeneca Chief Executive Pascal Soriot said the combination of the two companies' portfolios will help them improve care for patients with asthma and chronic obstructive pulmonary disease (COPD).

On Tuesday, American drug maker Pfizer said it was still thinking about securing big deals. However, it did not confirm if it would continue its pursuit of AstraZeneca.

TagsAstraZeneca, Almirall, Pfizer, Eklira, Almirall Sofotec, Mick Cooper, Edison Investment Research, Advair, GlaxoSmithKline, Pascal Soriot