Takeda buys rights to AMAG Pharma's Feraheme in select ex-US territories, including Europe, for up to $280 million; and R113675 in Japan from J&J

Japan's largest drugmaker Takeda Pharmaceutical has reached agreement with USA-based AMAG Pharmaceuticals (which specializes in the development of compounds to treat iron deficiency anemia) for rights to develop and commercialize the latter's Feraheme (ferumoxytol) injection for intravenous use in all therapeutic indications in a deal worth as much as $280 million. AMAG's shares rose 3% to $36 in premarket trading on April 1, the day the accord was revealed.

Under the terms of the deal, AMAG receives a $60 million upfront payment and is eligible to receive up to $220 million in development and commercial milestones. Additionally, AMAG will get tiered, double-digit royalties based on net sales of Feraheme in the licensed territories. In return, Takeda gains an exclusive license to Feraheme for all therapeutic applications in five regions, including Europe, Canada, Turkey, the Commonwealth of Independent States and Asia Pacific countries, excluding Japan, China and Taiwan.

The Lexington, Massachusetts-based US firm will execute and fund the global clinical development of Feraheme in all potential therapeutic indications. AMAG will also be initially responsible for the filing of regulatory applications for the compound in Europe and Canada, with Takeda responsible for the regulatory filings in all other regions covered by the agreement. Takeda will eventually hold all marketing authorizations in the licensed territories. Takeda will be responsible for commercializing Feraheme in all regions included in the licensed territories.