London-based biotech firm Roivant Sciences (ROIV) agreed to sell its Telavant Holdings unit, which is co-owned by Pfizer (PFE), to Roche Holding for $7.1 billion.

The deal gives Roche development, manufacturing, and commercialization rights in the U.S. and Japan for its experimental RVT-3001 antibody treatment for patients with inflammatory bowel disease, ꦛincluding ulcerative colitis and Crohn’s disease. Outside of the U.S. and Japan, Pfizer holds commercialization rights.

RVT-3001 showed 🐼success in a Phase 2b study, and Roche is expected to begin a Phase 3 study as soon as possible.  

Roche Group CEO Thomas Schinecker said the drug maker is “excited to add this promisingಞ new therapy” to its portfolio, and hopes to make it av🌄ailable to patients quickly.

Roviant is expected to get $150 million in a near-term milestone payment. The agreement also gives 💝Roche the option to enter into a global collaboration with Pfizer on another antibody medicine currently in a Phase 1 study.

The tran🐷saction💝 is expected to close this year or in the first quarter of 2024.

Shares of Roivant Sciences lost ground and were down 8.8% as of 2:30 p.m. ET, while Pfizer shares advanced 1.5%.