RedHill Biopharma has completed the sale of its 70% stake in Talicia, an FDA-approved antibiotic for H. pylori infection, to Apotex Health Corp. for $18 million in upfront cash, with the potential for an additional $35 million in milestone-based payments tied to global sales performance.
The transaction marks a strategic shift for RedHill, converting its majority stake in Talicia into immediate liquidity while maintaining access to future upside through the milestone structure. The deal follows Apotex's prior acquisition of Cumberland Pharmaceuticals' U.S. branded business, which included Cumberland's 30% ownership in Talicia, consolidating Apotex's full control over the product.
RedHill CEO Dror Ben-Asher characterized the divestment as a pivotal move to strengthen the company's financial position and fund commercial expansion. "We are converting our 70% stake in Talicia into immediate capital, significantly stronger liquidity and meaningful potential upside," Ben-Asher stated. He added that Apotex's capabilities position the company as the right steward to grow Talicia globally, while the proceeds will support RedHill's gastrointestinal commercial franchise and accelerate its path toward operational profitability.
Talicia, developed to treat H. pylori infection—the primary cause of gastric cancer and stomach ulcers—represents a key asset in RedHill's pipeline. The company has also highlighted other pipeline candidates, including opaganib for multiple oncology and antiviral indications, RHB-102 for gastrointestinal disorders, and RHB-204 for Crohn's disease, though these programs remain outside the scope of the Apotex transaction.
The deal was finalized in late August 2026, with RedHill noting the transaction's alignment with its broader strategy to optimize its asset base and enhance shareholder value. Legal advisers for RedHill included the Morningstar Law Group and Greenberg Traurig LLP.
RedHill, listed on the Nasdaq under ticker RDHL, has emphasized the financial flexibility gained from the transaction, which provides upfront capital while preserving potential upside through milestone payments. The company did not disclose further details on the allocation of proceeds beyond the stated commercial expansion plans.
