Medivir due 17M-euros milestones from Tibotec

Sweden-based Medivir' collaboration with Tibotec Pharmaceuticals, an Ireland-headquartered subsidiary of US health care major Johnson & Johnson, to develop HCV NS3/4A protease inhibitors for the treatment of chronic hepatitis C virus infection, has resulted in the drug candidate TMC435350 advancing into Phase II of the clinical trial program. The first Phase IIa study was initiated in Europe by Tibotec at the end of November.

Under the terms of the research development and license agreement of November 2004, Medivir is entitled to a number of pre-specified milestones, one of which has been achieved and the firm has thus secured a payment of 5.0 million euros ($7.4 million).

The second payment is due because Medivir has opted to decline a contractual opportunity to obtain from Tibotec, at some point in the future, the marketing rights for an approved pharmaceutical in the Nordic countries. In return, the latter will make a cash payment of 12.0 million euros.