Endo Pharmaceuticals and Orion Corporation Begin Novel R&D Collaboration
CHADDS FORD, Pa., Jan. 28, 2011
CHADDS FORD, Pa., Jan. 28, 2011 /PRNewswire/ -- Endo Pharmaceuticals (Nasdaq: ENDP) announced today that it has entered into a collaboration agreement with European-based Orion Corporation for the discovery, development and commercialization of assets in Oncology.
The formation of this R&D collaboration partnership allows the companies to bring forward a total of eight "discovery phase" candidates by combining an equal number of programs. The collaboration also allows both companies to exclusively license the others' development-ready programs at pre-determined stages and share all development costs.
"This alliance marks another milestone in the transformation of Endo's R&D platform," said Dr. Ivan Gergel M.D., executive vice president, Research & Development at Endo Pharmaceuticals. "We are excited about this opportunity to collaborate with an experienced partner like Orion and look forward to continuing to bring new therapies and healthcare solutions to payers, physicians and patients. This type of collaboration fits well into our new, efficient and effective virtual R&D model."
Dr. Reijo Salonen, senior vice president of Orion Corporation's Research and Development, commented: "I am very pleased with the collaboration agreement with Endo. This will immediately extend the Oncology R&D pipelines of both companies. The agreement is also perfectly in line with Orion's R&D strategy to focus on risk-sharing partnerships. We look forward to developing new cancer therapies for the patients jointly with Endo."
The companies will co-develop the assets coming out of this collaboration and share all development costs. Orion will have marketing rights in Europe, including Russia, while Endo will retain marketing rights for North America. The companies will pay cross royalties to each other on sales from their respective territories, and will mutually decide the most effective method to maximize product opportunities in rest of world (ROW) territories after phase II and share ROW revenues. With the establishment of the partnership Endo has exercised its option to license the lead asset in this collaboration discovered at Orion, a novel androgen-receptor antagonist for the treatment of advanced prostate cancer, which will be developed jointly by both companies for approval globally. It will be entering into phase one clinical trials in the near future.
Orion is an innovative European R&D-based pharmaceutical and diagnostic company with a special emphasis on developing medicinal treatments and diagnostic tests for global markets. Orion develops, manufactures and markets human and veterinary pharmaceuticals, active pharmaceutical ingredients and diagnostic tests. Orion's pharmaceutical R&D focuses on the following core therapy areas: central nervous system drugs, cancer and critical care drugs, and Easyhaler® pulmonary drugs.
The Group's net sales in 2009 amounted to EUR 772 million. The Company invested EUR 95 million in research and development. At the end of 2009, the Group had a total of 3,100 employees, of whom 2,500 worked in Finland and 600 in other European countries. Orion's A and B shares are listed on NASDAQ OMX Helsinki. For more information, please visit www.orion.fi/en.
Orion markets and distributes European-wide Endo's product Vantas®.
Endo Pharmaceuticals is a U.S.-based, specialty healthcare solutions company, focused on high-value branded products and specialty generics. Endo is redefining its position in the healthcare marketplace by anticipating and embracing the evolution of health decisions based on the need for high-quality and cost-effective care. We aim to be the premier partner to healthcare professionals and payment providers, delivering an innovative suite of complementary diagnostics, drugs, devices and clinical data to meet the needs of patients in areas such as pain, urology, oncology and endocrinology. For more information about Endo Pharmaceuticals, and its wholly owned subsidiaries HealthTronics, Inc. and Qualitest Pharmaceuticals, please visit www.endo.com.
This press release contains forward-looking statements regarding, among other things, the business combination between Endo and Qualitest, Endo's and Qualitest's financial position, results of operations, market position, product development and business strategy, as well as estimates of Endo's future total revenues, future expenses, future net income and future earnings per share. Statements including words such as "believes," "expects," "anticipates," "intends," "estimates," "plan," "will," "may" "intend," "guidance" or similar expressions are forward-looking statements. Because these statements reflect our current views, expectations and beliefs concerning future events, these forward-looking statements involve risks and uncertainties. Investors should note that many factors could affect the business combination of the companies, future financial results and could cause actual results to differ materially from those expressed in forward-looking statements contained in this press release. These factors include, but are not limited to: the risk that the operations of Endo and Qualitest will not be integrated successfully; Endo's ability to successfully develop, commercialize and market new products; timing and results of pre-clinical or clinical trials on new products; Endo's and Qualitest's ability to obtain regulatory approval of any of their respective pipeline products; competition for the business of Endo's and Qualitest's branded and generic products, and in connection with its acquisition of rights to intellectual property assets; market acceptance of our future products; government regulation of the pharmaceutical industry; Endo's dependence on a small number of products; Endo's dependence on outside manufacturers for the manufacture of a majority of its products; Endo's dependence on third parties to supply raw materials and to provide services for certain core aspects of its business; new regulatory action or lawsuits relating to Endo's or Qualitest's use of narcotics in many of its core products; Endo's and Qualitest's exposure to product liability claims, market withdrawals and product recalls and the possibility that Endo may not be able to adequately insure itself; the successful efforts of manufacturers of branded pharmaceuticals to use litigation and legislative and regulatory efforts to limit the use of generics and certain other products; Endo's ability to successfully implement its acquisition and in-licensing strategy; regulatory or other limits on the availability of controlled substances that constitute the active ingredients of some of its products and products in development; the availability of third-party reimbursement for our products; the outcome of any pending or future litigation or claims by third parties or the government, and the performance of indemnitors with respect to claims for which we have been indemnified; our dependence on sales to a limited number of large pharmacy chains and wholesale drug distributors for a large portion of its total revenues; a determination by a regulatory agency that Endo is engaging or has engaged in inappropriate sales or marketing activities, including promoting the "off-label" use of its products, the risk that demand for and acceptance of our products or services may be reduced; the risk of changes in governmental regulations; the impact of economic conditions; the impact of competition and pricing and other risks and uncertainties, including those detailed from time to time in Endo's periodic reports filed with the Securities and Exchange Commission, including current reports on Form 8-K, quarterly reports on Form 10-Q and annual reports on Form 10-K, particularly the discussion under the caption "RISK FACTORS" in our periodic and current reports filed with the Securities and Exchange Commission. The forward-looking statements in this press release are qualified by these risk factors. These are factors that, individually or in the aggregate, could cause our actual results to differ materially from expected and historical results. We assume no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.
SOURCE Endo Pharmaceuticals
CONTACT: Media and Investors, Blaine Davis, +1-610-459-7158; Investors, Jonathan Neely, +1-610-459-6645; Media, Kevin Wiggins, +1-610-459-7281, all of Endo Pharmaceuticals; or Media, Reijo Salonen of Orion, +358-50-966-3647
Web Site: http://www.endo.com