Memory expands neurotherapeutics alliance with Roche

The license grants rights to the drug class known as nicotinic alpha-7 receptor compounds; however it excludes rights to the intellectual property covering MEM 3454 which Memory is developing for treatment of schizophrenia and Alzheimer’s disease.

Under the new agreement, Memory Pharmaceuticals and Roche will actively collaborate on the discovery and clinical development of nicotinic alpha-7 agonists. Memory will conduct phase I clinical trials for compounds that emerge from the collaboration, and Roche will assume responsibility for later-stage development and commercialization.

Memory may receive approximately $2.3 million in research funding during 2007 upon the achievement of defined preclinical milestones and will receive milestone payments upon the achievement of development, regulatory and sales events for drug candidates that progress under the collaboration.

The clinical milestone payments and royalties on future sales have been adjusted to reflect the respective contributions of the two parties, Memory said.

In contrast to the other compounds developed under the new collaboration, MEM 3454 will continue to be developed by Memory Pharmaceuticals through phase IIa clinical trials, at which point Roche can exercise an option to license this drug candidate for further development and commercialization.

“Roche’s commitment and contribution of resources to this program reflects both companies’ belief in the potential of nicotinic alpha-7 agonists as innovative neurotherapeutics,” said Jim Sulat, president and CEO of Memory. “This more collaborative partnership brings significant additional expertise, capabilities and funding to the nicotinic alpha-7 agonist program.”