AstraZeneca buys California-based ZS Pharma for USD2.7bn
Pharmaceuticals giant AstraZeneca has agreed to buy Californian cardiovascular and metabolism therapies specialist ZS Pharma for $2.7bn (£1.8bn) in cash.
AstraZeneca has agreed to pay $90 a share for ZS, which develops treatments for hyperkalaemia, a serious condition of elevated potassium in the bloodstream typically associated with chronic kidney diseases and chronic heart failure.
The transaction will give Astra access to the potassium-binding compound ZS-9, a potential best-in-class treatment for hyperkalaemia.
Astra said ZS Pharma represents a strong fit with its pipeline and portfolio in cardiovascular and metabolic disease, one of the company's three main therapy areas.
Upon completion of the deal, ZS Pharma will become a wholly-owned subsidiary of AstraZeneca but the London-listed firm said the deal would not impact its financial guidance for 2015.
AZN said it is expected to generate product sales from 2016, with minimal earnings dilution over 2016 and 2017, becoming accretive to its core earnings from 2018.