Purdue Signs Licence, Collaboration Agreement With Transcept

Purdue and Transcept have entered into an exclusive license and collaboration agreement to commercialize Intermezzo (zolpidem tartrate sublingual) tablet in the US.

Transcept has granted Purdue and a Purdue associated company an exclusive license to market, sell and distribute Intermezzo in the US, and the right to negotiate for its commercialization in Canada and Mexico.

Under the terms of the agreement, Purdue will pay Transcept near-term milestones that include an upfront cash payment of $25 million and an additional payment of up to $30 million, based upon the timing of an FDA approval of Intermezzo.

Transcept is eligible to receive up to an additional $90 million upon reaching future milestones related to achievement of intellectual property and US net sales targets. If it elects to exercise its psychiatrist co-promotion option, Transcept will receive an additional double-digit royalty on the portion of US net sales generated by psychiatrists.

John Stewart, president and CEO of Purdue, said: We are excited to be working with Transcept towards the launch of this potential new entry into the prescription sleep aid market. This agreement is part of Purdue’s plan to diversify our product portfolio and broaden our commercial focus into therapeutic areas that complement our leadership position in pain management.

We are confident that prescribers will find Intermezzo to be a valuable therapeutic option for managing patients with middle-of-the-night sleep disorders that fall within the proposed indication for the product’s use, he added.