Transaction covering insomnia treatment and rhinitis nasal spray calls for $20 million upfront.
Meda acquired the worldwide commercialization rights for two patented drugs in late-phase development from Orexo: Sublinox, an insomnia treatment, and OX-NLA, a nasal spray for allergic and nonallergic rhinitis.
Meda paid $20 million upfront and agreed to milestone fees related to approval and sales levels of $90 million for Sublinox and $55 million for Ox-NLA. Orexo will also receive double digit royalty on net sales.
Orexo could get $30 million and $15 million with marketing approval for Sublinox and Ox-NLA, respectively. Sales milestones will be paid in installments of $20 million each upon achieving $150 million, $200 million, $400 million for Sublinox as well as $150 million and $300 million for OX-NLA.