February 10, 2010 / 1:01 PM / 8 years ago

UPDATE 1-Alexza inks deal with Biovail for anti-psychotic drug

* Signs deal to develop AZ-004 in North America

* Alexza to get upfront cash payment $40 mln

* Biovail to lead marketing activities for AZ-004

Feb 10 (Reuters) - Alexza Pharmaceuticals Inc ALXA.O said it signed a collaboration deal with a unit of Biovail Corp BVF.TO BVF.N to develop and commercialize AZ-004, its inhaled treatment for agitation, in the United States and Canada.

Under the deal, Alexza will receive an upfront cash payment of $40 million and up to $90 million in potential milestone payments upon achieving certain conditions.

Alexza said the collaboration provides development of AZ-004 for multiple indications and Biovail will lead the marketing activities for AZ-004. Biovail will make tiered, royalty payments of 10 percent to 25 percent on net commercial sales of AZ-004.

Alexza filed for U.S. regulatory approval for AZ-004 in December to treat agitation in patients with schizophrenia or bipolar disorder.

AZ-004 is delivered via Alexza’s Staccato system, a hand-held, single-dose inhaler that delivers a drug aerosol to the deep lung.

Alexza said it will continue to manage the ongoing marketing application for AZ-004 and approval process.

Shares of Alexza closed at $2.67 Tuesday on Nasdaq, while those of Biovail closed at C$14.87 on the Toronto Stock Exchange. (Reporting by Jennifer Robin Raj in Bangalore; Editing by Maju Samuel)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below