Baxter will add a new drug to its stable with a deal to buy Prism Pharma for up to $338 million. The small, privately held drug company recently won FDA approval for its heart-rhythm drug Nexterone, which Baxter has been manufacturing on a contract basis, Reuters reports.
By bringing in Nexterone, Baxter will beef up its portfolio of pre-mixed drugs; the Prism treatment is supplied premixed in IV bags, vials and pre-filled syringes. Baxter will pay $170 million in cash up front, with another $168 million in potential milestone payments pegged to sales targets.
Baxter will handle the Nexterone launch, the company said in a statement. "Based on our strong hospital relationships and familiarity with the product, Baxter is well-positioned to launch the ready-to-use presentations of Nexterone," Baxter's Medical Products President Robert Davis said in a statement. For Prism's part, its chief executive sounded pleased to have Baxter doing the kick-off. "The development and approval of Nexterone has been Prism's greatest achievement," CEO Warren Cooper said. "We look forward to Baxter's success in launching this product."
- read the release from Baxter
- see the Reuters news