Vectura, a product development company that focuses on the development of pharmaceutical therapies for the treatment of airways-related diseases, has acquired Activaero, a private German pharmaceutical company focused on the development of products for the treatment of respiratory diseases, for $179.6 million, to be funded through a combination of existing cash and equity.

Activaero’s proprietary smart nebulizer-based technology (FAVORITE) allows drug deposition into targeted areas of the lung and currently is being utilized in seven clinical and several preclinical stage programs.

The acquisition of Activaero fulfills a number of strategic priorities in a single transaction, creating a therapeutic area specialist for airways diseases. The combined entity will benefit from a balanced pipeline of late-stage and early-stage assets across a spectrum of indications; access to revenue generating, proprietary, smart nebulizer-based technology that enables targeting of inhaled drugs into pre-selected areas of the lung; the opportunity to develop a wide range of molecular entities, ranging from small molecules to biologics; and a broader partnership base.

Chris Blackwell, chief executive of Vectura, said, "We are determined to build further value in our company and this transaction represents an important step toward building a sustainable specialty pharma business. The acquisition is highly complementary to Vectura's core capabilities, in line with our strategic priorities and, I believe, will enable us to build a therapeutic specialist in airways diseases.”