Advanced Life Sciences has signed a development marketing pact with Wyeth for cethromycin, an antibiotic for community respiratory tract infections, in a deal that could be worth $100 million. ALS also announced today that cethromycin has been submitted to the FDA for approval.
As part of the deal, Wyeth gains the right to the antibiotic in the Asia Pacific region, excluding Japan. Wyeth made an up-front equity investment in Advanced Life Sciences through the purchase of 4.9 percent of ALS's stock. In addition to future royalty payments, ALS will gain milestone and regulatory payments based on successful achievement of clinical, regulatory and commercial objectives. The two companies will work together on additional clinical data in Asia to support further regulatory filings there. ALS retains rights to the drug in the rest of the world, excluding Japan, where Abbott has rights to cethromycin.
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