Paladin will own 19% of new entity formed to further development.
Paladin Labs and Isotechnika entered a strategic alliance to advance development and commercialization of Isotechnika’s voclosporin. The drug, a next-generation calcineurin inhibitor, recently completed a Phase III trial in psoriasis and a Phase IIb study in the prevention of kidney rejection following transplantation.
Under their agreement, the companies have formed a new firm, which will be called Isotechnika Pharma and will take care of development activities. Isotechnika will provide $4.35 million in R&D funding, and Paladin will own 19% of the new entity.
According to the commercialization terms of deal, Paladin paid Isotechnika $7 million for rights in Canada, Mexico, Central and South America, Israel, and South Africa. Isotechnika Pharma will be entitled to royalties on Paladin’s sales in these territories, and Paladin will receive royalties on the sales of voclosporin in other markets.
Over the longer term, Paladin expects that its commercialization expertise and Isotechnika’s background in drug discovery and development will identify and acquire through Isotechnika Pharma additional late-stage clinical assets.