The payment was in connection with the closing of the deal that was first announced in November 2005.
The value of this alliance could eventually exceed $400 million, plus royalties. This amount includes $30 million after regulatory acceptance and approval of Remoxy. King is also responsible for all R&D expenses related to this alliance, which could total $100 million.
Remoxy is an investigational drug in late-stage clinical development for the treatment of moderate-to-severe chronic pain such as low-back pain or pain due to osteoarthritis.
“We are confident our alliance with Pain Therapeutics adds considerable strength to King’s pipeline,” Brian Markison, president of King Pharmaceuticals, said when the deal was announced in November.