Bristol-Myers Squibb’s (BMS) is paying Allergan $40 million up front for AGN-209323, a Phase II-ready product for neuropathic pain, and backup compounds. The deal has a total value of $413 million and includes all potential indications except ophthalmology indications where products are formulated for local delivery to the eye.
Under the terms of the agreement, BMS receives exclusive, worldwide rights to develop, manufacture, and commercialize AGN-209323 and backup compounds. It will pay up to $373 million in development- and regulatory-based milestones and royalties on worldwide sales.
AGN-209323 is an orally administered small molecule that was discovered as part of a collaboration between Allergan and ExonHit Therapeutics. Due to the sublicense granted by Allergan to BMS, ExonHit will receive an up-front fee of $4 million, milestones that could exceed $32 million, and royalties on future sales.