Arena Pharmaceuticals and CY Biotech Enter into Marketing and Supply Agreement for BELVIQ® (lorcaserin HCl) in Taiwan
Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) today announced that its wholly owned subsidiary, Arena Pharmaceuticals GmbH, has entered into an exclusive marketing and supply agreement with CY Biotech Company Ltd. (CYB) for BELVIQ® (lorcaserin HCl) in Taiwan. Under the agreement, Arena granted CYB the rights to market and distribute BELVIQ in Taiwan for weight loss or weight management in obese and overweight patients, subject to regulatory approval of BELVIQ by the Taiwan Food and Drug Administration (TFDA).
Arena will manufacture BELVIQ at its facility in Switzerland, and sell finished product to CYB for a purchase price at 45% of CYB's annual net sales. In addition, Arena received from CYB a net upfront payment of $2 million, and is eligible to receive purchase price adjustment payments based on CYB's annual net sales, as well as a milestone payment upon approval of the first additional indication for BELVIQ by the TFDA. CYB is responsible for the development, regulatory approval and, ultimately, marketing and distribution of BELVIQ in Taiwan, including related costs and expenses.
"We will continue to expand the geographic footprint for BELVIQ through agreements with pharmaceutical companies that demonstrate a combination of local regulatory expertise and proven marketing strength," said Jack Lief, Arena's President and Chief Executive Officer. "CYB was formerly part of TTY Biopharm, a leading Taiwanese pharmaceutical company. While part of TTY, CYB was the operating group that previously co-marketed the weight loss drug Reductil® with Abbott in Taiwan, and we believe CYB is well positioned to bring BELVIQ to a territory where new weight management pharmacotherapies are needed."
According to published media reports, half of adult men and a third of adult women in Taiwan are overweight or obese, which are defined in Taiwan as a body mass index >24 kg/m2 or >27 kg/m2, respectively. Eight out of the 10 leading causes of death in Taiwan are associated with obesity, and approximately 10% of total healthcare spending goes to treat problems related to obesity.
"Health and a focus on weight management have become a countrywide movement in Taiwan," said Jacky Wang, CYB's Chairman and President. "This addition to our product portfolio reflects our commitment to innovation and our strong belief in the safety and efficacy of BELVIQ. Our previous experience in building the weight management market will be important for the regulatory approval and marketing of BELVIQ. CYB has a comprehensive sales network in place as well as relationships with the academic and physician thought leaders throughout Taiwan."
About BELVIQ® (lorcaserin HCl)
BELVIQ is believed to decrease food consumption and promote satiety by selectively activating serotonin 2C receptors in the brain. Activation of these receptors may help a person eat less and feel full after eating smaller amounts of food.
Arena has granted exclusive marketing and distribution rights for BELVIQ to Eisai Inc. for most of North and South America, to Ildong Pharmaceutical Co., Ltd., for South Korea and to CYB for Taiwan, and plans to enter into additional collaborations to commercialize BELVIQ outside of these territories. Composition of matter patents for BELVIQ are issued in major jurisdictions globally that, in most cases, are capable of continuing into 2023.
About Arena Pharmaceuticals
Arena is a biopharmaceutical company focused on discovering, developing and commercializing novel drugs that target G protein-coupled receptors, or GPCRs, to address unmet medical needs. BELVIQ® (lorcaserin HCl), Arena's internally discovered drug, is approved in the United States, and is under review for regulatory approval in additional territories. Arena's US operations are located in San Diego, California, and its operations outside of the United States, including its commercial manufacturing facility, are located in Zofingen, Switzerland. For more information, visit Arena's website at www.arenapharm.com.
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