Bayer has found a buyer for its hypogonadism drug Nebido but is keeping it in Germany as Grünenthal picks up its global rights for 500 million euros ($500 million).
The treatment, which is the lone long-acting injectable for males with testosterone deficiency, garnered sales of 117 million euros ($117 million) last year in more than 80 countries. It is patented until 2024 in Europe and 2027 in the United States.
Bayer said it made the move to focus on its “key areas of future medical innovation,” which include oncology, cardiology, ophthamology and hematology. Like many other large drugmakers, the company is revamping its pharma business to focus on breakthrough innovations that can deliver long-term growth.
Earlier this month, the company also said it planned to invest heavily in artificial intelligence, data science and multichannel marketing.
For its part, Grünenthal struck the deal to add another marketed drug to its growing portfolio. The company has been an active buyer over the last few years, snapping up dermal pain patch Qutenza from Acorda Therapeutics and the rights in some geographic areas to AstraZeneca drugs Vimovo (arthritis), Crestor (cholesterol), Zomig (migraine) and Nexium (heartburn).
Grünenthal said it plans to get the former Bayer treatment to more who need it as the condition is underdiagnosed.
“One in six men over 50 live with the symptoms of testosterone deficiency,” Grünenthal CEO Gabriel Baertschi said in a release. “Too few of these patients receive appropriate treatment.”
Nebido also is used for the treatment of clinical symptoms such as regression of secondary sexual characteristics, change in body composition, asthenia, reduced libido or erectile dysfunction due to low testosterone levels. The product is injected by a physician every 10 to 14 weeks.
In the United States, where Endo markets Nebido per a licensing deal with Bayer, Grünenthal will take over that responsibility as well. In the U.S. the drug is known as Aveed.
In addition to buying up branded drugs, Grünenthal acquired Swiss biotech Mestex AG last year and its pipeline candidate for osteoarthritis of the knee.