German pharmaceutical giant Bayer has agreed to offload the rights to its cancer drug regorafenib, marketed as Stivarga, to the Gruenenthal Group in a transaction that could be worth up to EUR 375 million, which translates to approximately $430.7 million, as announced by the acquirer on Monday.

The deal is slated for completion at the end of 2026 or the start of 2027, subject to standard closing conditions. Gruenenthal's corporate strategy revolves around acquiring established medicines that still address ongoing clinical needs, and this purchase aligns perfectly with that approach.

According to Gruenenthal, the European patent for this medication is set to expire in 2029, with the US patent following a year later. The drug's approved indications cover advanced metastatic colorectal cancer, hepatocellular carcinoma, and gastrointestinal stromal tumors.

For Bayer, which operates across both agriculture and pharmaceuticals, this divestment follows closely on the heels of another recent transaction earlier this month, when the company sold a minority stake in its long-acting reversible contraceptive business for roughly EUR 3 billion.

Gruenenthal highlighted that this acquisition represents the latest step in its strategic plan to buy mature drugs with sustained medical demand. The company anticipates that the deal will boost its earnings before interest, taxes, depreciation, and amortization (EBITDA) by up to approximately EUR 100 million in 2027.