SHIONOGI, BIOCRYST TO DEVELOP FLU DRUG FOR JAPAN

Shionogi and BioCryst Pharmaceuticals announced they have entered into an exclusive license agreement to develop and commercialize BioCryst's lead neuraminidase inhibitor, peramivir, for the treatment of influenza in Japan.

"We expect that this collaboration will accelerate the development and commercialization process in Japan," Jon Stonehouse, CEO of BioCryst, said. "Additionally, BioCryst and Shionogi will collaborate to evaluate other injectable formulations of peramivir."

Under the terms of the agreement, Shionogi will obtain rights to injectable formulations of peramivir in Japan in exchange for a $14 million upfront payment. BioCryst may also receive future clinical event milestone payments and commercial event milestone payments, in addition to double-digit royalty payments on product sales of peramivir. BioCryst said it retains all rights to commercialize peramivir in North America, Europe and elsewhere outside of Japan and Korea.

Peramivir is a member of the class of antiviral agents that inhibit influenza viral neuraminidase, an enzyme that is essential for the spread of influenza virus within the host, according to the companies. In laboratory tests peramivir has been shown to be more potent than currently available neuraminidase inhibitors, and it has activity against viral strains that are resistant to current drugs.

BioCryst has also received a four-year $102.6 million contract from the U.S. HHS for developing and registering peramivir in the U.S.