Nastech in licensing deal worth up to $89M with Amylin

Nastech Pharmaceutical has signed an agreement with fellow US firm Amylin Pharmaceuticals to develop a nasal spray formulation of exenatide. Preclinical studies of the formulation have been completed in preparation for initiating studies to determine feasibility in human subjects.

Under the terms of the deal, Nastech will receive milestones and royalties on product sales. If feasibility is successful and the program moves forward, milestone payments could reach up to $89.0 million, based on specific development, regulatory and commercialization goals. Royalty rates escalate with product success. No other financial terms of the accord were disclosed.

Amylin and Nastech will jointly develop the nasal spray formulation utilizing the latter's proprietary nasal delivery technology, and Amylin will reimburse the firm for any development activities performed under the agreement.