MENLO PARK, Calif.--(BUSINESS WIRE)--Jul. 22, 2009--
Depomed, Inc. (NASDAQ:DEPO) today announced that it has provided a
license to certain patents directed to metformin extended release
technology to Merck & Co., Inc. to be used in developing fixed dose
combinations of sitagliptin and extended release metformin.
“We are delighted to provide Merck with access to certain of our patents
related to metformin extended release technology for this important
potential therapy for type II diabetes,” said Carl A. Pelzel, president
and chief executive officer of Depomed. “We are pleased to continue to
execute on our plan to extract significant value from our delivery
technology as we advance our late stage clinical development programs
toward Phase 3 data later this year,” Mr. Pelzel added.
Under terms of the agreement, Merck will receive a non-exclusive license
as well as other rights to certain Depomed patents directed to metformin
extended release technology. In exchange Depomed will receive a $10
million upfront fee. Depomed is also eligible to receive a milestone
payment upon filing of the New Drug Application for the therapeutic
candidate, as well as modest royalties on any net product sales for an
agreed-upon period. Merck will also be granted a right of reference to
the New Drug Application covering Depomed’s GLUMETZA®
(extended release metformin hydrochloride tablets) product in Merck’s
regulatory filings covering fixed dose combinations of sitagliptin and
extended release metformin. Depomed has no development obligations under
Depomed, Inc. is a specialty pharmaceutical company with two product
candidates in Phase 3 clinical development, two approved products on the
market and other product candidates in its early stage pipeline. Product
candidate DM-1796 is in Phase 3 clinical development for the treatment
of neuropathic pain and has been licensed to Solvay Pharmaceuticals.
Product candidate SeradaTM is in Phase 3 clinical development
for menopausal hot flashes. GLUMETZA® (metformin
hydrochloride extended release tablets) is approved for use in adults
with type 2 diabetes and promoted by Santarus, Inc. in the United
States. Proquin® XR (ciprofloxacin hydrochloride) is approved
in the United States for the once-daily treatment of uncomplicated
urinary tract infections. Depomed formulates its products and product
candidates with its proven, proprietary Acuform® drug
delivery technology, which is designed to improve existing oral
medications, allowing for extended, controlled release of medications to
the upper gastrointestinal tract. Benefits of Acuform-enhanced
pharmaceuticals include the convenience of once-daily administration,
improved treatment tolerability and enhanced compliance and efficacy.
Additional information about Depomed may be found on its website, www.depomed.com.
“Safe Harbor” Statement under the Private Securities Litigation
Reform Act of 1995.
The statements that are not historical facts contained in this release
are forward-looking statements that involve risks and uncertainties
including, but not limited to, those related to our business strategy;
potential business development transactions; our research and
development efforts, including pre-clinical and clinical testing;
regulation by the FDA and other government agencies; the timing of
regulatory applications and product launches; and other risks detailed
in the company’s Securities and Exchange Commission filings, including
the company’s Annual Report on Form 10-K and most recent Quarterly
Report on Form 10-Q. You are cautioned not to place undue reliance on
these forward-looking statements which speak only as of the date hereof.
The company undertakes no obligation to publicly release the result of
any revisions to these forward-looking statements that may be made to
reflect events or circumstances after the date hereof or to reflect the
occurrence of unanticipated events.
Source: Depomed, Inc.
Sheilah Serradell, 650-462-5900