Depomed Announces Receipt of $1 million Milestone Payment From Ironwood Pharmaceuticals, Inc.
MENLO PARK, Calif., May 11, 2012 /PRNewswire/ -- Depomed, Inc. (NASDAQ: DEPO) today announced that it has received a $1 million milestone payment from Ironwood Pharmaceuticals, Inc. following the development and delivery of a prototype formulation of an Ironwood development candidate meeting pre-specified attributes under its Research Collaboration and License Agreement to license Acuform® technology to Ironwood signed in July 2011. Under the terms of the agreement, Depomed licensed to Ironwood worldwide rights to Depomed's Acuform gastric retentive drug delivery technology for an Ironwood development program directed at gastrointestinal disorders. Under the terms of the agreement, Depomed received an upfront license fee on signing in 2011 and is eligible to receive additional payments pending achievement of certain development and regulatory milestones, as well as royalties on product sales.
Depomed, Inc. is a specialty pharmaceutical company with two approved and marketed products. Gralise™ (gabapentin) is a once-daily treatment approved for the management of postherpetic neuralgia (PHN). Glumetza® (metformin hydrochloride extended release tablets) is approved for use in adults with type 2 diabetes and is commercialized by Santarus, Inc. in the United States. Depomed formulates its products and product candidates with its proven, proprietary Acuform® drug delivery technology, which is designed to improve existing oral medications, allowing for extended release of medications to the upper gastrointestinal tract when dosed with food. Additional information about Depomed may be found on its website, www.depomed.com.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995. The statements that are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties including, but not limited to, those related to the efforts of our collaboration partners to commercialize products; our research and development efforts; and other risks detailed in the company's Securities and Exchange Commission filings, including the company's Annual Report on Form 10-K and most recent Quarterly Report on Form 10-Q. The inclusion of forward-looking statements should not be regarded as a representation that any of the company's plans or objectives will be achieved. The achievement of those plans and objectives involves risks and uncertainties including, but not limited to, risks and uncertainties related to the timing and outcome of clinical trials, launch and market acceptance of Gralise; regulation by the FDA and other government agencies; the timing of regulatory applications and product launches; and other risks detailed in the company's Securities and Exchange Commission filings, including the company's Annual Report on Form 10-K and most recent Quarterly Report on Form 10-Q. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
August J. Moretti
SOURCE Depomed, Inc.