Idenix restructures as Novartis takes Tyzeka

Massachusetts, USA-based Idenix Pharmaceuticals, which is engaged in the discovery and development of drugs for the treatment of human viral diseases, has announced a strategic restructuring. As part of this, Idenix has amended the collaboration with Swiss drug major Novartis Pharma AG related to Tyzeka/Sebivo entered into in 2003.

Under the new deal, Idenix will discontinue all development, manufacturing and commercial activities for Tyzeka/Sebivo while Novartis will continue these and have full responsibility for ongoing and future clinical trials and regulatory filings related to the prooduct. Additionally, the US firm will receive a royalty on worldwide product sales. As a result of these changes, Idenix is reducing its workforce by around 100 positions, the majority of which support the development and commercialization of Tyzeka/Sebivo in the USA and Europe, and expects this action will reduce its cash burn rate 40%-50%.

Jean-Pierre Sommadossi, chief executive of Idenix, said: "we made a strategic decision to focus all of our resources on our hepatitis C and HIV/AIDS discovery and development programs; as such, we have discontinued the development of valtorcitabine for the treatment of hepatitis B and have changed our agreement for Tyzeka/Sebivo to a royalty stream arrangement.