Eurand earns $1M milestone from GSK

Italian drugmaker Eurand has received a $1.0 million milestone payment after UK drug major GlaxoSmithKline initiated a registration bioequivalence study for a new formulation of an undisclosed drug using Eurand's Microcaps and AdvaTab tablet technologies.

"We are delighted with how well this new formulation is progressing for GlaxoSmithKline," said Gearoid Faherty, chief executive of Eurand. The new agent dissolves in the mouth in approximately 30 seconds without water and without leaving a bitter or sour taste, he stated. GSK intends to file for marketing authorization in the USA by the end of the year.

Under the terms of their accord signed last year (Marketletter October 16, 2006), GSK will provide Eurand with a series of aggregate payments totalling $42.0 million, including certain developmental, regulatory and sales-based milestones. In addition, GSK will fund R&D in return for exclusive US rights to the resulting product.