June 29 (Reuters) – Zymeworks said on Monday it will acquire Theravance Biopharma for $929 million in cash, marking the oncology-focused drugmaker’s entry into the highly competitive respiratory disease segment.
The deal gives Zymeworks access to Theravance’s FDA-approved drug Yupelri, a once-daily nebulized treatment for chronic obstructive pulmonary disease (COPD), putting it in competition with major drugmakers that dominate the segment, including GSK, AstraZeneca and Boehringer Ingelheim.
COPD is a progressive lung disease that obstructs airflow and makes breathing difficult.
Under the agreement, Zymeworks will buy all outstanding Theravance shares for $17 each, implying an about 3.6% discount to the stock’s last close on Friday.
Zymeworks said Theravance has a 35% net profit share in Yupelri in the U.S., which is marketed in the country through a collaboration with Viatris.
In 2025, Yupelri’s U.S. net sales were $266.6 million, up 12% from 2024. U.S. net sales rose 7% to $62.4 million in the first quarter of 2026.
The acquisition is expected to provide near-term cash flow following the deal’s close, which is expected in the second half of 2026, Zymeworks said.
Theravance had said earlier this year it was exploring strategic alternatives, including a potential sale, after its experimental drug ampreloxetine for a rare disorder failed a late-stage trial, prompting a restructuring that could affect about half of its workforce.
Zymeworks said it will consider monetizing acquired assets, including ampreloxetine, with any proceeds from a potential ampreloxetine deal to be split 20% for Zymeworks and 80% for Theravance shareholders.
(Reporting by Padmanabhan Ananthan in Bengaluru; Editing by Jonathan Ananda)
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