PDL BioPharma gains rights to Tekturna via equity investment in Noden Pharma

USA-based PDL BioPharma (Nasdaq: PDLI) has committed to an equity investment in Noden Pharma DAC, a new privately held company that has executed a purchase agreement with Novartis (NOVN: VX)) to acquire exclusive worldwide rights to manufacture, market, and sell the branded prescription medicine product sold under the names Tekturna and Tekturna HCT in the USA and Rasilez and Rasilez HCT in the rest of the world.

The product's active ingredient is aliskiren, which is indicated for the treatment of hypertension.  The drug was previously marketed by Swiss pharma giant Novartis and had estimated global sales in 2015 of $154 million.

PDL expects to make equity contributions to Noden totaling about $107 million in the first year of the transaction, with an initial equity investment of $75 million to be made on closing of the transaction, and an additional $32 million equity contribution commitment on the one-year anniversary of the closing of the transaction.