AGN-209323 small molecule for neuropathic pain: Bristol-Myers Squibb, Allergan announce global agreement

Mar 3 2010

Bristol-Myers Squibb Company (NYSE: BMY) and Allergan, Inc. (NYSE: AGN) today announced a global agreement for the development and commercialization of AGN-209323, a Phase II-ready, orally administered small molecule in clinical development for neuropathic pain.

“There is significant unmet medical need for a more efficacious and tolerable therapy for neuropathic pain”

Under the terms of the agreement, Allergan will grant to Bristol-Myers Squibb exclusive worldwide rights to develop, manufacture and commercialize AGN-209323 and backup compounds. The agreement encompasses all potential indications except ophthalmology indications for products formulated for local delivery to the eye, where Allergan will retain certain rights. Bristol-Myers Squibb will make an upfront payment of $40 million, potential AGN-209323 related development- and regulatory-based milestone payments of up to $373 million, and royalty payments on worldwide sales.

“There is significant unmet medical need for a more efficacious and tolerable therapy for neuropathic pain,” said Francis Cuss, senior vice president, Discovery and Exploratory Clinical Research, Bristol-Myers Squibb. “We are pleased to have the opportunity to develop this potential first-in-class compound that could help patients prevail over chronic pain and strengthen our neuroscience pipeline.”

“We are fortunate to have a deep R&D pipeline, and believe that by partnering programs that extend into primary care, we can maximize the value of our science,” said Scott Whitcup, M.D., executive vice president, Research & Development and Chief Scientific Officer, Allergan. “We are excited to have a partner interested in our technology and committed to developing AGN-209323 for neuropathic pain.”

The effectiveness of the collaboration agreement is subject to antitrust clearance by the United States Federal Trade Commission and Department of Justice, under the provisions of the Hart-Scott-Rodino Antitrust Improvements Act of 1976, and other customary regulatory approvals.