Agreement Worth $13.2 Million
Turku - Biotie Therapies Corp. has recently signed a cooperation and option agreement with Somaxon Pharmaceuticals Inc., San Diego. Under the terms of the agreement Somaxon has an option to an exclusive license for North American rights to develop, manufacture and market Nalmefene for the treatment of pathological gambling and other impulse control disorders. Somaxon has paid BioTie $0.2 million as an initial option fee in July. Upon gaining a clinical development agreement with FDA, the companies will execute the license agreement and BioTie will receive a $3 million signing fee. Additionally, BioTie can receive clinical development milestone payments totaling $10 million plus royalties on sales in North America. Nalmefene is a specific and selective opioid receptor antagonist, which has demonstrated safety and efficacy in a phase II clinical study in the US in patients suffering from pathological gambling and in two phase III studies in the UK and in Finland in patients suffering from alcoholism and alcohol abuse.