Cerep and Sanofi-Aventis in NPY1 receptor antagonist deal
This article was originally published in Scrip
Cerep has received an undisclosed milestone payment from Sanofi-Aventis for an antidiabetes drug that the two firms co-discovered in 1998. The NPY1 receptor antagonist is in preclinical development for type 2 diabetes. Cerep transferred the drug to Sanofi-Aventis in 2006 and Sanofi-Aventis will reimburse certain expenses that Cerep incurs under a licence agreement signed by the two firms. Cerep is also eligible for royalties on sales once the drug reaches the market. The company had revenues of €7.4 million in the third quarter, up by 3%. It expects to have cash and cash equivalents of more than €22 million by the end of the year. The company's cash flow is mainly allocated to debt repayment.