Adherex buys out eniluracil from GSK

US firm Adherex Technologies, which has a broad portfolio of oncology products under development, has amended its July 14, 2005 development and license agreement for eniluracil with UK-headquartered drug giant GlaxoSmithKline by buying out all the latter's remaining options under the deal. As a result, Adherex will assume full direction and control over the product's future development pursuant to the terms of the license, including the ability to partner and/or sub-license the product to third parties. An upfront fee of $1.0 million is due to GSK on closing, which is expected to occur on or about March 1.

"Adherex has sought since 2004 to acquire the rights to eniluracil, which we believe represents a major pharmaceutical and therapeutic opportunity. Today's agreement brings the development and commercialization of eniluracil under our control and provides the flexibility for Adherex to develop the product alone or to collaborate or partner with other parties as we feel most appropriate," said William Peters, chief executive of Adherex.

GSK's clinical development program for the combination of 5-FU and eniluracil met with success in early eveloment. However, Phase III trials failed, and development was stopped by the UK firm.