Monday, August 18, 2014
on as the commercial partner for MannKind
Corp.'s Afrezza inhaled insulin, Sanofi is
clearly betting it can succeed where Exubera inhaled insulin from Pfizer
Inc. and Nektar
Therapeutics failed. To make the
numbers add up for its investors, the biotech has to hope the pharma is right.
week's deal, Sanofi
will pay $150 million up front and take over responsibility for global
commercial, regulatory and development activities for Afrezza, which FDA
approved in June to improve glycemic control in Type I and II diabetics.
MannKind is eligible for up to $775 million in development, regulatory and
sales milestones. The companies will split costs and profits, with Sanofi
receiving 65% and MannKind 35%. Sanofi also
agreed to advance up to $175 million at 8.5% interest to MannKind to cover its
share of the collaboration's expenses.