Teva gained exclusive global rights to develop Xenon Pharmaceuticals' experimental pain drug XEN402 under a deal potentially worth up to $376 million, the companies reported Tuesday. Teva CEO Jeremy Levin remarked that XEN402, which is currently in clinical development for a variety of painful disorders, fits the company's strategy of "building a focused pipeline of novel medicines in select areas of medical need."
Under the agreed terms, Teva will pay Xenon an upfront fee of $41 million and up to $335 million in development, regulatory and sales-based milestones, with the latter also eligible for royalties based on sales. Xenon will also have the option of participating in the US commercialisation of the agent if it receives regulatory approval.
According to the companies, XEN402 works by blocking the Nav1.7 and Nav1.8 sodium channels and has been studied in humans as both oral and topical formulations. A published trial revealed that the compound effectively relieved pain associated with erythromelalgia, and in a mid-stage study of post-herpetic neuralgia, a significantly greater proportion of patients in the treatment arm reported clinically meaningful reductions of pain than in the placebo group.
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