Clinigen adds to oncology portfolio with AstraZeneca's Ethyol

UK-based Clinigen Group (LSE: CLIN) has acquired the global rights to the oncology support therapy Ethyol (amifostine) from Anglo-Swedish drug major AstraZeneca (LSE: AZN)

Ethyol is a cytoprotective drug indicated as an adjuvant therapy to reduce the incidence of xerostomia (dry mouth) as a side-effect in patients undergoing post-operative radiation treatment for head and neck cancer. It also reduces the cumulative renal toxicity associated with the repeated administration of cisplatin in patients with advanced ovarian cancer. In 2013, Ethyol revenue was around $4.9million, according to Clinigen. The financial terms of the agreement are not disclosed.

Under the terms of the accordt, Clinigen will assume full responsibility for the distribution of Ethyol with immediate effect. AstraZeneca will continue to manufacture the product while the NDA and Investigational New Drug (IND) authorizations are transferred and the technical transfer to a third party manufacturer is completed. The acquisition will be paid for in milestone related stage payments linked to the transfer of manufacturing.