This excerpt taken from the AZN 6-K filed Jun 2, 2006.
In late 2004, AstraZeneca and CAT entered into a Collaboration and Licence Agreement jointly to discover and develop human monoclonal antibodies and AstraZeneca acquired a shareholding in CAT that currently represents
approximately 19.2% of the issued share capital.
AstraZeneca now intends to create a major R&D capability to deliver biological therapeutics, and the integration of CAT is central to these plans. The new organisation will be led from CATs Cambridge headquarters
and will be distinct from but complementary to AstraZenecas small molecule capability.
CATs capabilities, when combined with AstraZenecas global development and marketing expertise, will deliver an expanded pipeline of novel biological therapeutics to address unmet medical needs of patients in
AstraZenecas targeted disease areas.
AstraZenecas ability to bring additional resources and capabilities to CAT will allow it to develop CATs technology platform beyond its current capability and across a number of therapeutic areas including
Respiratory & Inflammation, Oncology & Infection, Neuroscience, Cardiovascular and Gastro-intestinal.
CAT also provides AstraZeneca with several other substantial assets beyond its current scientific capabilities. These include a royalty stream on the sales of HUMIRA®, potential milestones and royalties on CATs
other licensed products and access to CATs proprietary pipeline (including CAT-3888 in Phase II and CAT-354 in Phase I), which will be integrated into AstraZenecas development portfolio. In addition, CAT had a balance of net cash and
liquid resources of approximately £152 million as at 31 December 2005.
The acquisition will not alter AstraZeneca PLCs EPS guidance or its share repurchase programme for 2006.