Daytrana sales surpassed $75 million, prompting this final fee.
Noven Pharmaceuticals will receive $25 million from Shire under its agreement related to Daytrana. Shire achieved a sales level previously agreed to by both firms, thus triggering this milestone fee.
Under the terms of the companies’ collaboration, since net sales exceeded $75 million in the 12-months preceding June 30, Noven will receive this $25 million payment. Noven previously received $50 million in milestones in two installments of $25 million each when sales first exceeded $25 million and then $50 million.
This is the third and final success-based fee that Noven will obtain. As with prior Daytrana sales milestones, Noven expects to defer recognition of this latest sales milestone and recognize it as license revenues over time.
Daytrana is a transdermal patch approved to treat the symptoms of attention deficit hyperactivity disorder. The therapy was launched in June 2006.