Nuvo Research Inc. has completed the sale of its PENNSAID 2% U.S. sales and marketing rights to Horizon Pharma for a cash payment of US$45 million (CDN$50 million) which was payable on closing. Effective January 1, 2015, Horizon will assume U.S. commercialization of PENNSAID 2% from Nuvo’s former U.S. marketing licensee. Nuvo retains all rights to PENNSAID and PENNSAID 2% outside of the U.S. and will be seeking a marketing partner or partners for international territories.
Nuvo will supply PENNSAID 2% to Horizon for the U.S. market from its Varennes, Québec manufacturing facility pursuant to an exclusive long-term manufacturing agreement.
“This sale was made possible by our recent litigation settlement with our former U.S. marketing licensee that returned the U.S. PENNSAID and PENNSAID 2% rights to Nuvo,” said John London, Nuvo’s President and Co-CEO. “This transaction, together with the US$10 million litigation settlement payment, have generated gross proceeds of over CDN$60 million of non-dilutive cash. We will continue to explore opportunities to maximize the value of our robust product pipeline including our lead development asset, WF10, which is currently being studied in a 183 patient Phase 2 refractory allergic rhinitis clinical study with results expected in Q1 2015.”