Demonstrating a big appetite for potential blockbusters, Shire has agreed to pay Renovo $75 million up front along with a $50 million equity payment as part of an $875 million deal for the exclusive development and commercialization rights to Juvista, a scarring drug. The deal includes $700 million in scheduled milestone payments. The drug is intended for use after surgery and cosmetic procedures as well as for burn victims. The deal demonstrates a bullish estimate of the potential market for Juvista. Researchers say the drug could garner $4 billion a year in the U.S. market alone. The therapy is in development and could be approved in 2011. The partnership covers countries outside of the EU.
"This is a novel biopharmaceutical drug candidate that we believe could become a leader in the market for prevention and treatment of scarring, a market served by specialist physicians--as are all of Shire's markets," said Shire CEO Matthew Emmens.
- check out the release for more
- here's the report from The Times
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