Luye Pharma inks $538 million licensing deal for Seroquel

Hong Kong-based Luye Pharma (SEHK: 2186) has negotiated rights to atypical anti-psychotic medicines Seroquel (quetiapine fumarate) and Seroquel XR in the UK, China and other international markets, including Brazil, Australia, Saudi Arabia, Mexico, South Korea, Thailand, Argentina, Malaysia and South Africa.

The transaction is part of Anglo-Swedish pharma major AstraZeneca’s (LSE: AZN) strategy to focus on its three main therapy areas of Oncology, Cardiovascular, Renal & Metabolism and Respiratory, said Mark Mallon, executive vice president, global product and portfolio strategy at AstraZeneca.

Seroquel, used primarily to treat schizophrenia and bipolar disease, has lost its compound patent protection globally; the Seroquel XR formulation patents have now also expired in the vast majority of markets. AstraZeneca partnered the rights to Seroquel and Seroquel XR in Japan and Venezuela under prior agreements.