What's Happening?
Lee's Pharmaceutical Holdings Limited, through its subsidiary Nova Pneuma Inc., has acquired the Staccato One Breath Technology platform and related assets from Alexza Pharmaceuticals. This acquisition
includes intellectual property, trademarks, and manufacturing rights, enhancing Lee's Pharm's capabilities in aerosolized inhalation drug delivery. The transaction is part of a strategic move to expand Lee's Pharm's inhalation product pipeline and aligns with its global expansion strategy. The Staccato platform is known for its rapid drug delivery, comparable to intravenous injection, and is used in treating acute conditions. The acquisition also includes rights as a licensor and manufacturer of Staccato alprazolam under a global partnership with UCB, a company with a strong presence in epilepsy treatment. This partnership could result in milestone payments and royalties for Lee's Pharm, contingent on achieving specific development and sales milestones.
Why It's Important?
The acquisition of the Staccato One Breath Technology platform is significant for Lee's Pharmaceutical as it strengthens its position in the inhalation therapeutics market, particularly for central nervous system and neurodegenerative disorders. By acquiring these assets, Lee's Pharm can eliminate licensing payment obligations to Alexza, resulting in immediate cost savings and improved deal economics. The partnership with UCB, which retains global development and commercialization rights for Staccato alprazolam, positions Lee's Pharm to benefit from potential milestone payments and royalties. This move not only enhances Lee's Pharm's product pipeline but also opens new revenue streams and supports its global expansion strategy. The acquisition underscores the company's commitment to innovation and addressing unmet medical needs through advanced drug delivery technologies.
What's Next?
The transaction is expected to close by the end of 2025, subject to certain conditions. Lee's Pharm will continue to collaborate with UCB to advance solutions for epileptic seizure therapy and other therapeutic areas. The company aims to leverage the Staccato platform to develop additional medicines and expand its market presence. As the partnership progresses, Lee's Pharm may receive up to $60.5 million in milestone payments, along with tiered royalties on global net sales of Staccato alprazolam. The successful integration of the Staccato platform into Lee's Pharm's operations could lead to further innovations in inhalation therapeutics and strengthen its competitive position in the pharmaceutical industry.
