Lundbeck working with Takeda

Lundbeck and Takeda have formed a strategic alliance for the codevelopment and co-commercialization in the US and Japan of several compounds in Lundbeck's pipeline for mood and anxiety disorders. The initial focus will be on the two most advanced compounds in Lundbeck's pipeline for mood and anxiety disorders - Lu AA21004 and Lu AA24530 - with an option under certain conditions to include two other compounds of the same class in earlier stages of development. The companies plan to copromote the compounds in the US and Japan, subject to approvals.

Under the terms of the agreement, Lundbeck will receive an initial payment of $40 million and potentially a maximum of $345 million in additional development milestone payments. Both companies will jointly complete the development programmes, with Takeda booking the total sales and funding the majority of the remaining development activities. Lundbeck will receive a share of the revenue generated in the US and Japan as well as royalty payments on Takeda's share of revenues.

"We are delighted to have reached an agreement with one of the strongest global players in central nervous system research," says Yasuchika Hasegawa, president of Takeda. "Lundbeck has a novel compounds portfolio for the treatment of mood and anxiety disorder and we believe those compounds have the potential to demonstrate substantial benefits compared to existing therapies and that they will, therefore, be able to target unmet patient needs, while contributing to the enhancement of our CNS franchise, which is one of our core therapeutic areas."

"Takeda's experience in building up a leading and one of the fastest growing companies in the US combined with its market leader position in Japan has made us confident that we have identified a fully committed and highly competent partner for our portfolio of compounds for the treatment of mood and anxiety disorders," said Dr Claus Braestrup, president and CEO of Lundbeck. "This agreement also provides a unique opportunity to build a commercial presence both in the US and in Japan with the support of a strong partner, while we continue to utilize our own European and international platform outside the US and Japan to commercialize the compounds."

This is good news for Lundbeck, which has suffered some late-stage failures, most recently with the stroke drug desmoteplase, and is facing looming patent expiries starting in 2012 of its blockbuster Lexapro (escitalopram), and its own Cipralex brand of the antidepressant.

www.lundbeck.com