Pfizer to buy Baxter’s vaccines portfolio for US$635m

Pfizer has agreed to purchase Baxter International’s vaccines unit and part of a manufacturing facility in Orth, Austria for US$635m.

The deal is expected to be completed by the end of 2014.

The transaction will give Pfizer access to Baxter's meningitis vaccine NeisVac-C and its FSME-IMMUN/TicoVac vaccine against tick-borne encephalitis (TBE).

'For over a decade Pfizer has been the global leader in pneumococcal disease prevention. Through this acquisition, we will add two high-quality and life-saving vaccines that bring scale and depth to our portfolio,' said Susan Silbermann, Pfizer Vaccines President.

Both vaccines are currently available outside the US, primarily in European countries.

Through this acquisition, we will add two high-quality and life-saving vaccines that bring scale and depth to our portfolio

Baxter said it would continue to explore strategic options for parts of its business, including the potential for partnering or selling its R&D development programmes focused on influenza and Lyme disease.

'This action reflects our strategic priority to optimise the portfolio and enhance focus in specific disease areas as Baxter's BioScience organisation prepares to become a separate, independent global biopharmaceutical company,' said Ludwig Hantson, President of Baxter BioScience.

'We are redirecting resources and investing in our robust pipeline centred on core areas of expertise – haematology and immunology – and through technology platforms like gene therapy and biosimilars.'

He added that Pfizer would provide the 'dedicated, ongoing investments necessary to support and advance the availability of these important vaccines'.

Baxter expects 2014 revenue of approximately $300m for its vaccines business, including around $50m of milestone payments related to ongoing government collaborations for the development of influenza vaccines.