Shire acquires stake in Chronos Therapeutics

The equity stake is part of an agreement under which Shire granted three central nervous system (CNS) pre-clinical development programs to Chronos in return for milestones and an opportunity to buyback them under several circumstances.

Chronos bought all intellectual property, know-how, development and marketing rights for each program on a global basis.

Shire also has a right of first negotiation on each program. If Chronos fails to invest specified amounts in the assets, Shire can re-acquire the drugs.

The programs target fatigue in multiple sclerosis, addictive behaviours and potentially post-traumatic stress disorder. They could have potential development opportunities outside the initial target indications.

The deal expands Chronos' pipeline and is designed to complement its lead compound, RDC5, indicatedto treat amyotrophic lateral sclerosis.

Chronos Therapeutics CEO Huw Jones said: “Taking the programmes forward in areas of unmet need in the CNS segment creates significant value for Chronos and its shareholders as well as ultimately providing patients with new treatment options, alleviating significant suffering."

Chronos has a library of re-purposed molecules that are claimed to be showing promise for brain and neurological diseases.

The company’ laboratory in Oxford, UK, screens for drug activity of in brain disease through its proprietary platform Chronoscreen.

Chronos' shareholders include the University of Oxford, Vulpes Testudo and Life Sciences funds, Odey European and Swan funds, as well as the company’s board and management.

Image: Shire location in Lexington Massachusetts. Photo: courtesy of John Phelan.