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EXHIBIT 99.1
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Michael W. Rogers
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Brooke D.
Wagner |
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Executive Vice President and CFO
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VP, Corp.
Communications |
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(781) 861-8444
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(781)
402-3410 |
INDEVUS ANNOUNCES ALLERGAN
AS NEW PARTNER FOR SANCTURA BRAND
Company Enters Into
License, Commercialization and Supply Agreement
Company to Host Conference
Call at 12:30 p.m. Eastern Time,
September 19,
2007
LEXINGTON, Mass., September 19,
2007 — Indevus Pharmaceuticals, Inc. (Nasdaq: IDEV) today
announced that Allergan, Inc. (NYSE: AGN), through its acquisition
of Esprit Pharma, has obtained the United States rights to
SANCTURA(R) and SANCTURA(R) XR. In connection with Allergan’s
acquisition of Esprit Pharma, Indevus has executed an amended and
restated license, commercialization and supply agreement with
Esprit Pharma that will be effective, with certain exceptions, on
the closing of the acquisition. The acquisition of Esprit Pharma is
expected to be completed by the end of October 2007. The Company
will host a conference call and webcast today at 12:30 p.m. eastern
time (details follow below).
“We are extremely pleased to see
SANCTURA XR now in the hands of a company with the resources and
experience to maximize what we believe is a class- leading
opportunity” said Glenn L. Cooper, M.D., chief executive
officer and chairman of Indevus. “Allergan has a proven
record of success in marketing specialty pharmaceuticals, and with
their leadership I am quite optimistic that SANCTURA XR will be in
a strong position to achieve its full potential. We look forward to
working with Allergan over the coming months to prepare for a
successful launch of SANCTURA XR and upon launch, to achieving new
levels of success in our co-promotion of SANCTURA
XR.”
On August 6, 2007, Indevus
announced that SANCTURA XR (trospium chloride extended release
capsules) was approved by the U.S. Food and Drug Administration
(FDA). SANCTURA XR is indicated for the once-daily treatment of
overactive bladder (OAB) with symptoms of urge urinary
incontinence, urgency, and urinary frequency. Following the
approval, the Company received a $49.9 million milestone payment
from Esprit Pharma, the Company’s partner in the U.S. for
SANCTURA and SANCTURA XR. The milestone payment was based on the
total costs to develop SANCTURA XR, including clinical development,
as well as manufacturing development costs.
Under the terms of the amended and
restated license, commercialization and supply agreement, Allergan
will be responsible for all marketing and sales activities. Indevus
will be responsible for supply of SANCTURA XR through June 30,
2008. Beginning in July 2008, Allergan will assume manufacturing
responsibilities for SANCTURA XR. Upon closing of this agreement,
Allergan will pay Indevus an upfront license fee of $25 million, a
portion of which will begin to be creditable by Allergan in 2010,
against certain future payments owed to Indevus. Allergan will also
pay Indevus royalties on net sales of SANCTURA and SANCTURA XR of
12.5% and will reimburse Indevus for required royalty payments to
Indevus’ licensors. For a period of seven years, the
royalties payable to Indevus will be subject to a guaranteed
minimum level, except under specified conditions. The guaranteed
minimum royalties will be as follows: 2008 - $8.1 million,
2009 - $10.6 million, 2010 - $15.6 million, 2011 -
$18.1 million, 2012 - $20.6 million, 2013 -
$23.5 million, 2014 - $26.3 million. Indevus will also receive
a milestone payment of $20 million in December 2013 based on
certain market exclusivity conditions.
Additionally, Indevus will continue to
co-promote SANCTURA XR through September 2008 and will receive a
quarterly sales force subsidy at a $9.3 million annual rate.
Indevus will also have the option to continue co- promoting
SANCTURA XR for an additional six months after September 2008 at
the same rate.
As a result of the amended and restated
license, commercialization and supply agreement, Indevus has
determined that the amended contract will be accounted
fo
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