Swiss pharmaceutical major Novartis (NYSE: NVS) announced last week that it has struck a deal to acquire the HDAC6 small-molecule inhibitor (SMI) CKD-510 from South Korea’s Chong Kun Dang (CKD) Pharmaceutical. The transaction includes an upfront payment of USD 80 million, with the potential for up to USD 1.23 billion in milestone payments, along with sales-based royalties and fees.
Details of the Acquisition
The acquisition of CKD-510 is a strategic move for Novartis to bolster its pipeline with a promising candidate drug. The financial terms of the deal reflect the high value placed on CKD-510’s potential in addressing unmet medical needs.
Potential Applications of CKD-510
CKD-510 completed an early-stage trial in 2021 without a specified particular indication by CKD. However, the molecule has shown potential in treating atrial fibrillation and the rare genetic disorder Charcot-Marie-Tooth disease. This acquisition positions Novartis to explore these and possibly other indications for CKD-510, further expanding its reach in the therapeutics market.- Flcube.com
