All Japanese osteoarthritis deal could total 12 billion yen

Ono Pharmaceutical (TYO: 4528) and Seikagaku Corp (TYO: 4548) have announced a deal for a co-development and marketing collaboration on an osteoarthritis candidate in Japan that could be worth 12 billion yen ($110 million).

Under the agreement, Ono acquires co-development and exclusive marketing rights related to SI-613 in Japan, with Seikagaku receiving an upfront payment of 2 billion yen and milestone payments up to a maximum total amount of 10 billion yen over multiple years upon future progress in development and marketing.

SI-613, a formulation in which hyaluronic acid and a non-steroidal anti-inflammatory drug are chemically bound using Seikagaku’s proprietary technology, is currently under Phase III clinical development in Japan for the treatment of osteoarthritis.