Zentiva Secures €220M Deal for Ex-AstraZeneca GI Asset in Europe

Former Sanofi subsidiary Zentiva has inked a deal worth up to €220 million with Cinclus Pharma to commercialize and manufacture linaprazan glurate, a gastric acid-related disease treatment, in Europe. The agreement marks Zentiva's strategic expansion beyond generics into specialty medicines and revitalizes a once-abandoned AstraZeneca asset.

Deal Structure and Financial Terms

Zentiva will pay Cinclus Pharma an upfront sum of €13 million, followed by a near-term milestone payment of €5 million in 2026. The total potential value of the agreement reaches €220 million, encompassing the initial payment and all subsequent commercial and regulatory milestones. Additionally, Cinclus is eligible for tiered double-digit royalties on net sales in Europe.

The partnership covers the United Kingdom, Switzerland, and all countries within the European Economic Area, granting Zentiva exclusive rights to commercialize and manufacture linaprazan glurate in these territories.

Linaprazan Glurate: A Potent GERD Treatment

Linaprazan glurate, a potassium-competitive acid blocker, is being developed for severe erosive gastroesophageal reflux disease (eGERD). The drug's journey began at AstraZeneca, where it underwent phase 1 and 2 trials between 2001 and 2005 before being shelved. In 2014, former AstraZeneca employees founded Cinclus Pharma to resurrect and advance the molecule.

Recent phase 2 dose-selection study results have shown promise, with a post-hoc analysis indicating higher healing rates in eGERD patients treated with linaprazan glurate compared to those given lansoprazole, an over-the-counter competitor. Cinclus plans to initiate a phase 3 trial in the third quarter of 2025.

The treatment has already gained approval in China as a GERD therapy in December 2024, with Cinclus planning to launch the drug independently in the Chinese market this year.

Strategic Implications for Zentiva and Cinclus

For Zentiva, this deal represents a significant step in its evolution from a generics-focused company to one with a growing portfolio of high-value specialty medicines. Martin Albert, Zentiva's Chief Scientific Officer, emphasized the strategic fit of linaprazan glurate within the company's broader objectives.

Cinclus Pharma views the partnership as a de-risking strategy for European approval while maintaining its ability to capture value in other markets, particularly the United States, where it retains full commercial rights. Christer Ahlberg, CEO of Cinclus, highlighted the alliance's establishment of a fully integrated set of capabilities necessary to bring linaprazan glurate to the European market.

This collaboration not only breathes new life into a once-abandoned pharmaceutical asset but also showcases the potential for smaller, specialized firms to partner with larger entities to bring innovative treatments to patients across Europe.