Concert Pharmaceuticals achieves $2 million milestone for its AVP-786

USA-based Concert Pharmaceuticals (Nasdaq: CNCE) has achieved a $2 million milestone under its development and license agreement for AVP-786 which it holds with Avanir Pharmaceuticals (Nasdaq: AVNR), the second earned under the agreement.

The milestone payment has been triggered by Avanir initiating dosing in a Phase II clinical trial with AVP-786 for the adjunctive treatment of major depressive disorder. Avanir has worldwide rights to develop and commercialize the treatment and other deuterium-modified dextromethorphan compounds, believed to have potential in the treatment of neurological and psychiatric disorders. Concert is also eligible to receive additional payments upon achieving certain predefined clinical, regulatory and commercial targets.

While Avanir will retain overall responsibility for research, development and commercialization of deuterium-modified dextromethorphan compounds (including AVP-786), Concert is eligible to receive tiered royalties on global sales of ainy products containing them.