Glenmark, Teijin announce $53mn deal

Glenmark Pharmaceuticals S.A, the Switzerland-based, wholly-owned subsidiary of Glenmark Pharmaceuticals and Teijin Pharma, a wholly-owned subsidiary of Teijin, today entered into a collaboration agreement for Glenmark's PDE4 inhibitor GRC 3886.

According to a release issued by Glenmark to the BSE today, GRC 3886 is a novel, orally available PDE4 inhibitor discovered by the company. "It is currently in development for chronic obstructive pulmonary disorder (COPD) and asthma, and may also have utility in other inflammatory conditions such as rheumatoid arthritis," the release added.

In pre-clinical trials, GRC 3886 was shown to be a highly specific PDE4 inhibitor with potential for the indications of asthma and COPD. "The phase 1 studies were conducted in the UK by Quintiles, a global contract research organisation, and have been completed recently. The Phase 1 studies have demonstrated that GRC 3886 is well tolerated and exhibits predictable pharmacokinetics in human volunteers. The molecule has been found to be non-emetic and without any apparent cardiovascular effects at the highest doses tested in the study. Additionally, the drug has exhibited a long half-life, suggesting a once-daily-dosing regimen may be possible in future studies in patients," the release said.

Teijin Pharma will have the exclusive right to develop, register and commercialise GRC 3886 for all potential indications for which the product might receive approval in the Japanese market. "Teijin Pharma will pay Glenmark a high, up-front payment upon initiation of the agreement, and a further milestone on commencement of Phase I studies in Japan. Teijin Pharma will also pay Glenmark other milestones on crossing each successive stage in the development and commercialisation of the product for the Japanese market. The cumulative value of these upfront and milestone payments could be up to $53 million if all the milestones are completed," the release said.

Glenmark had announced a similar deal for the territory of North America with Forest Labs in September 2004. After these two collaborations, Glenmark retains rights to GRC 3886 for all markets excluding North America and Japan, and is in discussions with potential collaboration partners for Europe as well.

Glenn Saldanha, MD and CEO of Glenmark, said: "This collaboration with Teijin Pharma is in line with our strategy of partnering with strong regional companies for the regulated markets of North America, Japan and Europe. We are happy to partner with a company of high repute like Teijin Pharma that has consistently demonstrated exceptional development, sales and marketing skills and has a strong presence in the Japanese market."