NeuroSearch, GlaxoSmithKline deal

The companies added an undisclosed number of compounds to a 2003 deal to develop CNS therapeutics, which GlaxoSmithKline has an option to license. NeuroSearch is responsible for development up to and including Phase IIa testing of the new compounds, and GlaxoSmithKline will be responsible for late-stage development and commercialization. NeuroSearch will receive an undisclosed upfront payment and is eligible for up to DKK812 million ($141.2 million) in milestones, plus double-digit royalties on each compound. NeuroSearch has a put option to sell up to DKK149 million ($25.9 million) of shares to GlaxoSmithKline at market price until the end of November 2010 (see BioCentury, Dec. 22, 2003). ...