Under the terms of the agreement Neuromed will make an upfront payment of $30 million, additional regulatory milestone payments, and will pay royalties based on sales of the product. Neuromed will develop and market the product in the US, while Alza will retain the rights to the product in other countries. Alza will manufacture the product for Neuromed as well as for other markets in which the product is sold.
“Our licensing of the US rights to Oros Hydromorphone from Alza is an excellent fit with Neuromed’s strategy to address the significant need for alternative chronic pain treatments,” said Dr Christopher Gallen, president & CEO of Neuromed.
Oros Hydromorphone is a version of the hydromorphone opioid known as Dilaudid. The product employs the Oros osmotic drug delivery technology. The Oros osmotic drug delivery technology provides controlled drug release over an extended period and has been employed as a sustained release formulation for many products, including Concerta, Ditropan XL, Covera-HS, and Procardia XL.