Royalty Pharma to provide R&D funding support of up to $125 million for the development of olanzapine LAI (TEV-‘749), a long-acting subcutaneous injectable olanzapine for schizophrenia
Teva's office in Canada. (Credit: Raysonho @ Open Grid Scheduler / Scalable Grid Engine from Wikimedia Commons)
Teva Pharmaceuticals International GmbH, a subsidiary of Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) and Royalty Pharma plc (Nasdaq: RPRX), announced today a collaboration to further accelerate the clinical research program for Teva’s olanzapine LAI (TEV-‘749) by entering into a funding agreement of up to $125 million to offset program costs.
Olanzapine LAI (TEV-‘749) is a once-monthly subcutaneous long-acting injection of the atypical antipsychotic olanzapine that is currently in Phase 3 for the treatment of schizophrenia and has the potential to be the first long-acting olanzapine with a favorable safety profile.
“Since launching Teva’s Pivot to Growth strategy in May 2023, we have been working on novel and expedited ways to both continue to invest in our robust innovative pipeline while supporting the growth of our in-line businesses,” said Richard Francis, President and CEO of Teva. “We are excited to collaborate with Royalty Pharma, a leading funder of innovation with a strong track record, experience, and reputation. This funding agreement enables us to continue to accelerate the development of olanzapine LAI (TEV-‘749), a critical program for us, without impacting resources dedicated to our innovative and generic medicines.”
“We are delighted to partner with Teva, to realize the potential of olanzapine LAI and support them as their innovative pipeline continues to come to fruition,” said Pablo Legorreta, founder and Chief Executive Officer of Royalty Pharma. “Long-acting injectable antipsychotics improve compliance and can help prevent hospitalizations. Teva’s olanzapine LAI could be an important new treatment option for patients with schizophrenia.”
Source: Company Press Release