Partner, Meda, will pay $5 million out of the previously agreed $30 million milestone.
FDA approved Edluar, an insomnia therapy from Orexo. Partner, Meda, will have to pay Orexo $5 million according to their agreement inked in April 2008.
Edluar 5 mg and 10 mg sublingual tablets is indicated for the short-term treatment of insomnia characterized by difficulties with sleep initiation. Meda expects to launch the drug in the second half of this year.
Meda gained worldwide rights to Edluar and a nasal spray for rhinitis with an up-front $90 million fee. The company also agreed to pay up to $30 million if Edluar was sanctioned. Labeling under the current approval triggered only $5 million. Sales-based success fees could total $60 million.
