Cephalon signs double deal

Cephalon and Mylan Technologies have signed two agreements to develop and commercialise pain and central nervous system disorders products and to settle a patent infringement dispute.

The patent dispute centres on the sleep disorder drug Provigil (modafinil).

Cephalon has granted Mylan a non-exclusive royalty-bearing right to market and sell a generic version of Provigil in the US. The licence will become effective in 2011.

The company has made it clear this agreement does not affect other ongoing lawsuits concerning patent infringement of pharmaceutical compositions and methods of treatment with the form of modafinil contained in Provigil.

Cephalon and Mylan have also got together for a collaboration agreement over transdermal technology to address certain pain and central nervous system disorders.

The two firms will collaborate to create branded transdermal products to develop and commercialise in exchange for payment of milestones and ongoing royalties to Mylan based on sales.

Robert Coury, Mylan’s vice chairman and CEO, said: “This type of collaboration will leverage MTI’s [Mylan Technologies Inc] state-of-the-art technology and expertise and has the potential to allow Mylan to participate in branded commercial opportunities without additional R&D net costs.

“These agreements are the latest in what we believe will be a series of branded strategic alliances and further demonstrate MTI’s position as partner of choice for transdermal technology.”

Financial details of neither agreement were released. Mylan Technologies is a subsidiary of Mylan Laboratories.

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