Pulmatrix announced that it has signed an agreement with Cipla subsidiary Cipla Technologies (Cip Tec) that “lays the groundwork” for Cip Tec to acquire the rights to Pulmazole (PUR1900) inhaled dry powder itraconazole for the treatment of allergic bronchopulmonary aspergillosis (ABPA) in asthma patients. A definitive deal is expected in the 2nd quarter of 2019, contingent on Pulmatrix having a minimum of $15 million in unencumbered funds.
Assuming that the companies enter into the definitive agreement, Cip Tec will pay $22 million up front for the exclusive rights to Pulmazole for ABPA. In addition, Pulmatrix will retain half of free cash flow generated by any future sales of Pulmazole. Pulmatrix will be responsible for continued clinical development, and Cip Tec will be responsible for commercialization.
According to Pulmatrix, the company should have the means to be able to complete a Phase 2 study of Pulmazole in adult ABPA patients that is scheduled for the 2nd quarter of 2019. The FDA cleared an IND for the study earlier this year. After Phase 2, the companies would equally split all development and commercialization costs.
Pulmatrix CEO Robert W. Clarke said, “With the FDA review of the IND complete, allowing us to proceed into ABPA patients, we are excited to take this important step forward in financing the Pulmazole program. In addition to securing a 50% commitment from Cip Tec for future Pulmazole development and commercialization costs, Cipla’s deep experience in respiratory drug development, device, manufacturing, and commercialization of respiratory products should further strengthen the program. This important milestone brings us one step closer towards providing an improved novel therapeutic option to patients suffering from ABPA.”
Read the Pulmatrix press release.
