Horizon Pharma acquires US rights to Pennsaid 2% from Nuvo Research

Pennsaid 2% is a topical product containing 2% diclofenac sodium compared to 1.5% for original Pennsaid and it is approved in the US to treat pain of osteoarthritis (OA) of the knee.

Effective 01 January 2015, Pennsaid 1.5% will no longer be marketed in the US and Horizon will assume US commercialization of Pennsaid 2% from former US marketing licensee of Nuvo.

Additionally, Nuvo will retain its existing ex-US rights to Pennsaid 1.5% and Pennsaid 2% and will be seeking a marketing partner or partners for international territories.

For the US market, Horizon will receive Pennsaid 2% from Nuvo’s Varennes, Québec manufacturing facility pursuant to an exclusive long-term manufacturing agreement.

Nuvo President and co-CEO John London said the sale was made possible by the company’s recent litigation settlement with its former US marketing licensee that returned the US Pennsaid and Pennsaid 2% rights to the company.

"This transaction, together with the $10m litigation settlement payment, has generated gross proceeds of over CDN$60m of non-dilutive cash," London said.

"We will continue to explore opportunities to maximize the value of our robust product pipeline including our lead development asset, WF10, which is currently being studied in a 183 patient Phase 2 refractory allergic rhinitis clinical study with results expected in Q1 2015."