Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) today announced that Ildong Pharmaceutical Co., Ltd., has informed Arena that the Ministry of Food and Drug Safety has approved BELVIQ® (lorcaserin HCl) for marketing for weight management in South Korea. Ildong will market and distribute BELVIQ in South Korea under its marketing and supply agreement with Arena's wholly owned subsidiary, Arena Pharmaceuticals GmbH, or Arena GmbH. In connection with the approval, Arena GmbH will receive a milestone payment of $3.0 million from Ildong.
"We are pleased with this achievement, and continue to work with our collaborators to obtain approval for BELVIQ in additional territories," said Jack Lief, Arena's President and Chief Executive Officer. "As a leading pharmaceutical company in South Korea with significant experience marketing obesity products, we are confident in Ildong's ability to make this novel therapy available to patients in South Korea."
BELVIQ is approved in South Korea as an adjunct to a reduced-calorie diet and increased physical activity for weight management in adult patients with an initial body mass index (BMI) of 30 kg/m2 or greater (obese), or 27 kg/m2 or greater (overweight) in the presence of at least one weight related comorbid condition (e.g., hypertension, dyslipidemia, type 2 diabetes).
Arena GmbH will manufacture BELVIQ at its facility in Switzerland, and sell BELVIQ to Ildong for a purchase price starting at 35% of Ildong's annual net sales. The purchase price will increase on a tiered basis up to 45% on the portion of annual net sales exceeding $15.0 million.
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