Valeant Strikes Psoriasis-Drug Pact With AstraZeneca
September 01 2015 - 4:10AM
Dow Jones News
Canada's Valeant Pharmaceuticals International Inc. has struck a
deal with AstraZeneca PLC for the rights to sell psoriasis
treatment brodalumab after Amgen Inc. dropped its own collaboration
with the U.K.-based drug maker over concerns about the drug's side
effects.
Valeant said on Tuesday that it will pay AstraZeneca $100
million upfront, with another $170 million in prelaunch milestones
and up to $175 million following launch. Valeant and Astra will
also share profits on sales of the drug.
Under the deal, Valeant said it will assume all development
costs associated with the regulatory approval for brodalumab. It
plans to submit the drug for regulatory approval in the U.S. and EU
in the fourth quarter of 2015.
The Canada-based company will hold the exclusive rights to
develop and commercialize brodalumab globally, except in Japan and
certain other Asian countries where rights are held by Kyowa Hakko
Kirin Co. under a prior arrangement with Amgen, which first
developed brodalumab.
Amgen pulled out of its own collaboration with AstraZeneca in
May. The company cited "events of suicidal ideation and behavior"
during clinical trials of brodalumab. The U.S. biotechnology
company said these events would lead to restrictive labeling.
At the time, Astra said it would stick with the drug, pointing
to positive phase-three trial data.
Astra Chief Executive Pascal Soriot said the new agreement with
Valeant would "help to bring brodalumab to patients with psoriasis
who need new treatment options through Valeant's expert focus on
dermatology."
Brodalumab is "potentially the most efficacious therapy yet for
moderate-to-severe plaque psoriasis," said J. Michael Pearson,
Valeant Chairman and CEO.
Write to Denise Roland at Denise.Roland@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
(END) Dow Jones Newswires
September 01, 2015 03:55 ET (07:55 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
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