Watson Pharmaceuticals, Inc. (NYSE: WPI) today announced an exclusive, worldwide licensing agreement with Itero Biopharmaceuticals, Inc., a venture-backed specialty biopharmaceutical company, to develop and commercialize Itero's Recombinant Follicle Stimulating Hormone (rFSH). The product is currently in preclinical development as a biosimilar molecule for the treatment of female infertility.
Under the terms of the agreement, Watson will pay Itero an undisclosed licensing fee and make additional payments based on the achievement of certain development and regulatory performance milestones. Upon successful commercialization, Watson will also pay Itero a percentage of net sales or net profits in various regions of the world. Watson will assume responsibility for all future development, manufacturing, and commercial expenses related to Itero's rFSH product.
"Acquiring the rights to Itero's rFSH product represents our first in-licensing of a biosimilar development project, and demonstrates the execution of our plan to build a pipeline of biosimilar products, through both internal development and external partnering with high quality biopharmaceutical companies such as Itero," said Paul Bisaro, Watson's President and CEO. "This project will capitalize on the world-class biologics capabilities of our Eden Biodesign group and represents a substantial step in Watson's goal to build a significant position in the global biopharmaceutical marketplace."
"Our agreement with Itero also represents continued delivery on our commitment to expand our brand product pipeline with distinctive product opportunities in the growing women's health market," said Watson's Fred Wilkinson, Watson's Executive Vice President, Global Brands. "The Eden and Brand research and development teams will manage the development activities, and if we are successful, the Brand commercial organization will add another major product to our portfolio."