Therapy Areas: Cardiovascular
Synergy Pharmaceuticals Inks License Agreement with Luoxin Pharmaceutical Group for Trulance in China
10 August 2018 - - US-based drugmaker Synergy Pharmaceuticals Inc. (NASDAQ: SGYP) has entered into a license agreement with Chinese pharmaceutical company Luoxin Pharmaceutical Group Co., Ltd., Shandong (Luoxin) providing Luoxin exclusive rights to develop and commercialise Synergy's lead product Trulance (plecanatide) for the treatment of adults with chronic idiopathic constipation and irritable bowel syndrome with constipation (IBS-C) in mainland China, Hong Kong and Macau, the company said.

Under the terms of the agreement, Synergy will receive an upfront payment of USD 12m.

Synergy is also eligible, in the event that certain regulatory and commercial milestones are met, to receive additional payments of up to USD 56m in aggregate. In addition, Synergy is eligible to receive tiered royalty payments on aggregate net sales. 

Luoxin will lead clinical development in China and be responsible for all activities and expenses relating to clinical development, regulatory approval, and commercialisation in China. Yafo Capital acted as a financial advisor on this transaction.

Synergy is a biopharmaceutical company focused on the development and commercialization of novel gastrointestinal therapies.

The company has pioneered discovery, research and development efforts around analogs of uroguanylin, a naturally occurring human GI peptide, for the treatment of GI diseases and disorders. Synergy's proprietary GI platform includes one commercial product Trulance (plecanatide) and a second product candidate dolcanatide.

Luoxin Pharmaceutical is a pharmaceutical company in China that engages in pharmaceutical research and development, manufacture, sales, and healthcare services.

Established in 1988, Luoxin has grown into a company with more than 6,500 employees and sales reaching USD 1.4bn US.

The company provides pharmaceutical products in gastrointestinal, respiratory, cardiovascular, infectious diseases and cancer, among other therapeutic areas.


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