Date:08/07/2005 URL: http://www.thehindubusinessline.com/2005/07/08/stories/2005070802630200.htm

Back Glenmark in pact with Napo for anti-diarrhoeal drug

Our Bureau

Mumbai , July 7

GLENMARK Pharmaceuticals Ltd has entered into an agreement with Napo Pharmaceuticals Inc to develop and commercialise Napo's proprietary anti-diarrhoeal compound called crofelemer.

Glenmark has been granted an exclusive license to develop and commercialise crofelemer for India and several other markets to treat paediatric diarrhoea, acute infectious diarrhoea, and chronic diarrhoea in people living with HIV/AIDS (AIDS-related diarrhoea), a company communiqué said.

Glenmark expects to launch the product in India and several other territories from 2007 onwards.

Crofelemer targets gastrointestinal indications and is in advanced clinical development to treat AIDS-related diarrhoea and diarrhoea-predominant irritable bowel syndrome (D-IBS) in the US.

Glenmark will have the exclusive right to develop, register, and commercialise crofelemer in over 140 countries, almost all markets outside North America, Japan, China, and Europe.

Napo's bulk ingredients to make this drug will also be supplied by Glenmark.

Napo will receive royalties "ranging from high single digits to early teens on net sales of the product in different geographies", a Glenmark note said.

As part of the collaboration, Glenmark will also participate in Napo's latest round of financing with a contribution of $1 million to its preferred stock.