Addex receives milestone from Merck & Co
This article was originally published in Scrip
Addex Pharmaceuticals has received a second milestone worth $500,000 from Merck & Co as part of their collaboration to develop allosteric modulators for the treatment of Parkinson's disease.
A preclinical study showed that the oral administration of a metabotropic glutamate receptor 4 (mGluR4) positive allosteric modulator had the desired dopaminergic activity profile in an animal model of Parkinson's disease.
Addex received the first milestone worth $250,000 in the first quarter of last year. The two companies signed the agreement in 2007 and Addex could receive up to $106.5 million in research, development and regulatory milestones for the first product developed for multiple indications. It could receive a further $61 million if two more products are developed.
MGluR4 activators trigger a compensatory mechanism that may negate the need for dopamine receptor activators and may have a neuroprotective effect that helps to preserve the brain's dopaminergic neurons, Addex said.
The milestone will boost Addex's cash position and Piper Jaffray analysts forecast a year-end cash position of CHF75.4 million ($69.5 million). The Swiss firm plans to discuss the collaboration and its allosteric modulator pipeline further at its R&D day on July 16th.