In addition to the initial milestone payment, Elbion would be entitled to additional payments from Wyeth based on the achievement of further milestones. Payments to Elbion under the agreement, including the upfront payment and milestone payments, could total up to $110 million over the life of the agreement. Wyeth will also pay Elbion royalties on worldwide annual net sales of products developed under the agreement.
Elbion and Wyeth are collaborating on the discovery of new chemical entities for the inhibition of phosphodiesterase 10(PDE10) drawing on Elbion’s substantial expertise in PDEs. PDE10 is highly expressed in the neurons in the brain associated with certain neurological and psychiatric disorders including schizophrenia and psychosis.
Tom Kronbach, chief scientific officer of Elbion, said: “We are excited by the therapeutic potential of these compounds and by our joint ability to optimize all key parameters. We have adopted ambitious goals in our collaboration and see this milestone coming at the right pace.”