Axcan has entered into an agreement to acquire Mpex Pharmaceuticals, Inc. and its lead product candidate, Aeroquin, a new aerosol formulation of levofloxacin. Aeroquin is currently in Phase III development for the treatment of pulmonary infections in patients with cystic fibrosis (CF). Mpex will receive an upfront payment and a series of regulatory and success-based payments, but financial details were not disclosed. The acquisition, subject to customary closing conditions, is expected to close 2H11.

Assets not associated with Aeroquin, including financial and human resources, will be spun out of Mpex and into a newly formed company, which will remain in San Diego. Mpex personnel associated with Aeroquin development will continue to lead the clinical development program along with Axcan.

“Axcan has a long history of developing and commercializing pharmaceutical products for the cystic fibrosis community, as evidenced most recently by ZENPEP,” said Daniel Burgess, president and chief executive officer of Mpex. “We look forward to working with the dedicated team at Axcan to help bring this potentially important new treatment option to patients with CF.”