NEW YORK (AP) — Pfizer says it will buy NextWave Pharmaceuticals Inc., a company that makes a liquid attention deficit hyperactivity disorder drug, in a deal worth as much as $700 million.
The Food and Drug Administration approved NextWave's drug Quillivant XR in September, and the once-per-day drug is expected to be in pharmacies in January.
Pfizer made a $20 million option payment to Cupertino, Calif.-based NextWave in the second quarter to establish a merger agreement. The company will pay $255 million when the deal closes, and agreed to pay NextWave another $25 million based on sales milestones.
Pfizer expects the deal to close during the fourth quarter.
Shares of Pfizer Inc. are flat at $25.76 in premarket trading.