IS Pharma signs three-way Swiss deal
IS PHARMA, the Cheshire-based pharmaceutical company has agreed a three-part deal with Swiss group Helsinn Healthcare.
One strand of the deal will see IS Pharma buying Lugano-based Helsinn’s Irish business, another is a licensing deal for IS Pharma for the UK and Irish rights to one of Helsinn’s drugs, and finally an agreement to share ideas and product development for new cancer drugs.
As part of the collaboration deal Chester-based IS Pharma will focus on the European market and Helsinn on the US.
The licensing arrangement will see IS Pharma pay an initial €500,000 (£420,000) for the UK and Irish rights to NETU-PALO FDC, a next generation treatment in development for the prevention of nausea and vomiting associated with cancer chemotherapy.
IS Pharma will pay Helsinn a further €2m with further payments linked to specific regulatory and launch milestones for both an oral and an IV formulation.
As part of the two companies’ new focus on specific markets – IS in Europe and Helsinn in the US, the IS Pharma will pay £3.7m for Dublin-based Helsinn Birex Therapeutics.
HBT comprises a portfolio of hospital and generic products. The acquisition will give IS Pharma a direct sales presence in Ireland which will be used to market its existing portfolio of products.
IS Pharma will pay for the deal using cash and shares over the next 12 months.
Chief executive Tim Wright, said: “Following our successful placings in October and November 2010, this transaction is a further significant step in implementing the company’s strategy to become a leading European speciality pharmaceutical company.
“Helsinn has an excellent reputation in drug development and this partnership will provide considerable synergies for IS Pharma as we further enhance our portfolio.”
Riccardo Braglia, chief executive of Helsinn Healthcare added: ““We are delighted to continue our relationship with IS Pharma, which started a few years ago with Aloxi and to expand it to a new, wider alliance in supportive care.”
