Vertex sells HIV royalty stream for $160 million

Vertex Pharmaceuticals Inc. of Cambridge said todat that it sold the rights to its royalty stream from two HIV drugs sold by GlaxoSmithKline PLC for $160 million.

Vertex said it sold the royalty stream from Lexiva and Agenerase, which it licensed to Glaxo, to strengthen its financial position and invest in other programs, particularly its hepatitis c drug programs.

In 2007, Vertex received net HIV royalty revenue of $34.1 million. The company received royalties of $48 million form Glaxo, but also made a $13.9 million revenue payment to a third party.

Shares of Vertex rose 86 cents, or 3 percent, to $29.41 in morning trading on the Nasdaq Stock Market. (AP)