AstraZeneca said in a statement today that it has agreed to buy U. S. firm Pearl Therapeutics for up to $1.15 billion. Anglo-Swedish pharmaceuticals group AstraZeneca has entered an agreement to take over Pearl Therapeutics, which is a privately held company based in Redwood City, California.

AstraZeneca said to be focused on the development of inhaled small-molecule therapeutics for respiratory disease.

"The acquisition will give AstraZeneca access to a potential new treatment for chronic obstructive pulmonary disease (COPD), currently in late-stage development, and inhaler and formulation technology that provides a platform for future combination products", it said in a statement.

AstraZeneca Chief Executive Pascal Soriot said that the rates of chronic pulmonary disease is increasing worldwide, thereby increasing the demand for more inhaled combination products.

London-listed AstraZeneca will pay $560 million initially upon completion and the price can increase up to $1.15 billion. But, the rise will depend on the sales, passing developments and regulatory milestones.

It is expected that the acquisition will be completed in the third quarter of this year. This acquisition will position AstraZeneca in the emerging market for a new class of lung treatments known as LABA/LAMA drugs. These drugs will improve patient compliance and disease control without using asteroids.