NPS and AstraZeneca dissolve partnership

Source: Stock Market Digital

Date :10/10/2007 04:02:50

Drug developer NPS Pharmaceuticals Inc has ended its six-year partnership with AstraZeneca Plc.

The collaboration focused on developing drugs to target metabotropic glutamate receptors in the central nervous system.

NPS will no longer provide research support or maintain interests in any drugs developed and marketed under the program.

Collaboration

The two companies have been collaborating since March 2001 and have generated several drug candidates for preclinical and early-stage development.

These receptors are implicated in a variety of diseases such as epilepsy, Parkinson's and Huntington's diseases, and also in pain, schizophrenia, and anxiety.

The company will instead focus on its late-stage pipeline products, including osteoporosis drug Preos and gastrointestinal disorders drug Gattex.

Tony Coles, president and CEO of NPS said: "This strategic move creates investment flexibility for NPS and enables us to use the monies from this deal, the previously announced Nycomed Gattex deal and the approximately $10 million in savings over the next two years from this transaction to support the further development of our late-stage pipeline products.”

AstraZeneca will pay $30 million to acquire NPS's assets related to their research agreement.

Shares of NPS Pharmaceuticals Inc. rose to twelve percent on Tuesday after the company’s announcement.

October 10 2007

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AstraZeneca Plc

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