Japan-based Astellas Pharma Inc. closed its €422 million acquisition of Germany-based biopharmaceutical company Ganymed Pharmaceuticals AG.

The acquisition of Ganymed, which became a wholly owned unit of Astellas on Dec. 20, expands Astellas' oncology pipeline.

Ganymed shareholders may also be eligible to receive up to €860 million in further contingent payments based on the development of the company's gastroesophageal cancer drug IMAB362. IMAB362 is Ganymed's most advanced clinical program, with an orphan drug designation in the U.S. and Europe.