The Hindu : Business : Orchid, Merck sign agreement

Online edition of India's National Newspaper
Tuesday, Sep 30, 2008
ePaper | Mobile/PDA Version

Business

Business

Orchid, Merck sign agreement

Special Correspondent

To develop agents for bacterial infections
Orchid will be paid an undisclosed upfront sum

CHENNAI: Orchid Research Laboratories (the wholly-owned drug discovery subsidiary of Orchid Chemicals & Pharmaceuticals (Orchid) and Merck & Co. (Merck owns an affiliate, MSD Pharmaceuticals Pvt. Ltd., a marketer and distributor of Merck pharmaceutical products in India) have announced that they have established a strategic research collaboration and licence agreement (the “Agreement”) focussed on the discovery, development and commercialisation of novel agents for the treatment of bacterial and fungal infections.

Addressing a press conference here on Monday, K. Raghavendra Rao, Managing Director, Orchid Chemicals, said Orchid Research Laboratories and Merck would work to identify and develop novel anti-bacterial and anti-fungal compounds as clinically validated drug candidates.

Orchid would undertake discovery and candidate development through Phase-II (a human) clinical trials. Merck would conduct late-stage clinical development and commercialisation, if regulatory approval was granted.

Under the agreement, Orchid would be paid an undisclosed upfront sum, and was eligible to receive payments totalling more than $100 million associated with the achievement of various research and development milestones.

The agreement contemplates that Merck and Orchid would work on multiple targets and compounds, which would be evaluated against specific criteria for discovery and development. Orchid was also eligible to receive significant royalties on worldwide net sales of any product commercialised.

Printer friendly page
Send this article to Friends by E-Mail

Business