Orion Corp. has entered into a license agreement with Janssen Pharmaceuticals for the development and commercialization of Orion's investigational alpha-2c adrenoceptor antagonists for the symptoms of Alzheimer's disease, including clinical phase compound ORM-12741.
Orion will receive an upfront payment of $31 million and is eligible to receive payments upon completion of certain development and commercialization milestones, as well as royalties on future sales. Orion will use the majority of the up-front payment for costs associated with an additional Phase IIa study.
Orion will have exclusive commercialization rights in Europe and will grant Janssen a worldwide license to develop ORM-12741 and other compounds from the alpha-2c platform. Janssen will have an exclusive right to commercialize these compounds outside Europe. Orion and Janssen will co-fund development the Phase IIa study is completed.
Dr. Reijo Salonen, senior vice president of R&D at Orion, said, "In our collaboration with Janssen, I believe we will have the best of all worlds. At Janssen, there is a track record of success and commitment of developing therapies in Neurosciences. At Orion, we have a track record of inventing innovative molecules; and for Alzheimer patients, we hope that this partnership will bring them a novel medicine that will make an important difference to their lives."