PPD Inc., BioDuro, J&J deal

Johnson & Johnson's Janssen Pharmaceutica N.V. subsidiary granted PPD rights to develop and commercialize two undisclosed compounds PPD describes as "Phase II-ready." The compounds include a mu opioid receptor agonist and a delta opioid receptor antagonist in development to treat diarrhea-predominant irritable bowel syndrome (IBS-D) and a broad-spectrum fluoroquinolone antibiotic in development to treat complicated skin and skin structure infections (cSSSIs) and respiratory infections. Janssen is eligible for up to $250 million in milestones and royalties from PPD, but retains the option to regain rights after Phase II testing. If Janssen exercises that option, PPD would be eligible for up to $330 million in milestones and royalties from Janssen.

In October, PPD announced plans to spin out its compound partnering business to focus on its CRO operations. PPD expects to include the newly licensed compounds in the spinout. PPD and J&J are already collaborating to develop Priligy dapoxetine, which is marketed outside the U.S. for premature ejaculation (PE) (see BioCentury, Nov. 2). ...