Forendo Pharma, a clinical-stage drug development company focusing on novel treatments in women’s health, has signed a license-and-collaboration agreement with Novartis. The joint research collaboration is aimed at identification of novel drugs for the treatment of chronic liver diseases. Novartis receives a worldwide exclusive license to drug candidates generated under the collaboration.
Under the terms of the agreement, Forendo will receive an upfront payment and equity investment from Novartis. Furthermore, Forendo’s research activities under the collaboration will be funded by Novartis. After the term of the research collaboration, Novartis will assume responsibility for all future development, manufacturing, and commercialization of the novel compounds. Forendo is also eligible to earn milestone payments, upon specified development, regulatory and commercial milestones, and tiered royalties on the sales.