Valeant Pharmaceuticals is reportedly in early talks to sell Relistor, a tablet for treating opioid-induced constipation.
Talks are in the early stages, according to Bloomberg, but a sale of this drug could help the embattled Canadian company chip away at its staggering $30 billion in debt. Sources told the publication Relistor could be valued between $400 million and $500 million.
Valeant paid an initial $50 million to Progenics Pharmaceuticals last month after the FDA approved the drug to help patients taking an opioid regimen deal with chronic, non-cancer pain. Progenics, a drug-maker that partnered with Valeant on developing the tablet form of Relistor, is entitled to receive an estimated $200 million in milestone payments based on sales of this therapy.
Valeant is hoping that Relistor could pose a threat to AstraZeneca’s similar drug Movantik, reported FiercePharma. An FDA approval helped, but analysts felt that blockbuster revenues aren’t guaranteed. Progenics predicted over $1 billion in peak sales for the pill version of Relistor. Analyst estimates, however, fluctuated between $125 million and $750 million.
Sources explained to Bloomberg Valeant could still back out of this rumored deal although the other assets could also be sold including the firm’s dermatology and pharmaceutical units.
Filed Under: Drug Discovery