Oct 24 (Reuters) - Biogen said on Friday it has

gained global rights to privately held Vanqua Bio's experimental

drug for up to $1.06 billion to expand its pipeline of

immunology drugs.

The oral drug targets a protein involved in various

inflammatory disorders and is currently in preclinical testing,

the drugmaker said.

Biogen has been expanding into immunology and rare disease

medicines through acquisitions and partnerships to drive revenue

growth as sales continue to dwindle for its older multiple

sclerosis drugs due to rising competition.

Last year, the drugmaker agreed to buy privately held Human

Immunology Biosciences for up to $1.8 billion to gain access to

its experimental drug being tested for rare immune-related

conditions.

"This agreement strengthens Biogen's immunology strategy by

advancing a proven immune mechanism with the potential to

address a broad range of inflammatory disorders with high unmet

need," the company said.

Under the agreement, Vanqua will receive an upfront payment

of $70 million and is eligible to receive up to $990 million

upon completion of certain development, regulatory and

commercial milestones.

Biogen will lead all future development, manufacturing and

commercialization efforts for the candidate.

The drugmaker said it expects to file a human trial

application with the U.S. Food and Drug Administration in 2027.