Valeant announces licensing agreement with Kaken Pharmaceutical
Valeant announced its subsidiary has entered into an exclusive license agreement with Kaken Pharmaceutical to develop and commercialize products containing a new chemical entity, KP-470, which is an investigational compound for the topical treatment of psoriasis. If approved, KP-470 will represent a novel drug with an alternate mechanism of action in the topical treatment of the disease. Under the terms of the licensing agreement, Kaken has granted to Valeant an exclusive license to develop and commercialize topical products containing KP-470 to treat dermatological and rheumatological disorders and conditions. Valeant will have rights to develop and commercialize products with KP-470 in the United States, Canada, and Western and Eastern Europe. Kaken will receive an upfront cash payment and has the potential to receive certain development-based milestone payments, as well as additional milestone payments based on the achievement of certain annual sales milestones. Additionally, Kaken will receive royalties on Valeant's net sales of the products.