Endo returns pain drug rights to Durect

Endo Pharmaceuticals, a specialty pharmaceutical company, has given notice that it is returning to Durect, a specialty pharmaceutical company, its rights in the US and Canada to develop and commercialize Transdur-Sufentanil, a transdermal patch in development intended to treat chronic pain.

Endo and Durect have recently completed a successful end-of-Phase II meeting with the FDA. Endo has notified Durect of its intention to terminate the licensing agreement entered into between Endo and Durect, and has committed to assist in an orderly and rapid transition of this program back to Durect.

Durect anticipates now recognizing in the fourth quarter of 2008 additional revenue as a result of accelerating the remaining amortization of the Endo upfront license fee.

Transdur-Sufentanil is intended to provide continuous delivery of sufentanil for up to seven days from a single application, as compared to the three days of relief provided by currently available opioid patches, said Durect.

James Brown, president and CEO of Durect, said: We are disappointed to lose Endo as a partner for the US and Canada, but understand that the program is no longer a strategic fit for them. However, we appreciate the fact that Endo substantially advanced this program such that it is now Phase III ready. With the worldwide rights to this program restored to us, we believe we have an attractive asset to partner or to progress it ourselves.