AstraZeneca is bolstering its presence in China.
It amended its collaboration agreement with Ironwood Pharmaceuticals, Inc. in China mainland, China Hong Kong and China Macau for Linzess (linaclotide), a new treatment for patients with irritable bowel syndrome with constipation.
The condition is characterized by symptoms of abdominal pain and constipation, is a chronic and prevalent functional gastrointestinal disorder in China with few treatment options.
The amended agreement gives AstraZeneca sole responsibility for developing, manufacturing and commercializing Linzess in China mainland, China Hong Kong and China Macau. Ironwood will no longer be involved in the research and development or the commercialisation of Linzess; it will also transfer manufacturing responsibility to AstraZeneca.
The two companies first entered into a collaboration to co-develop and co-commercialise Linzess in 2012. Under the original collaboration agreement, AstraZeneca and Ironwood were jointly responsible for strategic oversight of the development and commercialization of Linzess in China, while AstraZeneca had primary responsibility for local operational execution.
Linzess was approved by the National Medical Products Administration for adults with IBS-C in January 2019 in China.
Leon Wang, Executive vice president, international and president of AstraZeneca China, said: “Linzess is an important new treatment for this type of IBS in China, where there is a specific high unmet medical need. Today’s amended agreement allows us to bring this innovative medicine to patients more efficiently and will contribute further to our strong growth in this significant market.”
Mark Mallon, CEO of Ironwood, said: “AstraZeneca has substantial experience and capabilities in developing and commercializing medicines in China. There are approximately 14 million adults suffering from IBS-C in China alone and we believe AstraZeneca is well-positioned to bring Linzess to these patients.”
AstraZeneca will pay Ironwood three non-contingent payments, totalling $35 minion , between 2021 and 2024. In addition, Ironwood could receive up to $90 million in milestone payments, contingent on the achievement of certain sales targets. Ironwood will also be eligible for royalties beginning in the mid-single-digit percent, based on the annual net sales.
AstraZeneca employs 1,500 in Delaware.
