The ring, which contains two hormonal products ethinyl estradiol and Nestorone, a synthetic progestin, is currently in Phase 3 clinical development.
The Nestorone/ethinyl estradiol contraceptive vaginal ring is designed to simultaneously release Nestorone along with a low dose of ethinyl estradiol for up to 13 cycles (one full year). The ring remains in the vagina for three weeks per cycle, followed by one ring-free week. It is intended to be inserted and removed by the woman herself without the help of a healthcare professional.
As per the terms of the agreement, Watson is expected to pay the Population Council an undisclosed licensing fee and make additional payments based on the achievement of certain regulatory and sales performance milestones. If the product is successfully commercialized, Watson also will pay royalties based on sales in the US, Canada and Mexico.
As a result of the agreement, Watson will assume responsibility for specific future development, regulatory and marketing expenses related to the commercialization of the contraceptive ring. In addition, the agreement has special provisions for providing the product to certain public-sector organisations.
Peter Donaldson, president of Population Council, said: “This ring, if approved, will provide women with an important new user-controlled long-term contraceptive method. We are pleased to be entering into this agreement with Watson, which has made its commitment to women’s health a cornerstone of its business.”
Fred Wilkinson, executive vice president of global brands at Watson, said: “The addition of this novel vaginal ring product further expands our contraceptive portfolio by adding a unique contraceptive choice for women. The Population Council is a leading force in the development of reproductive health products and a natural ally for Watson as we continue to focus on providing women with a wide array of safe, effective options for reproductive health.”