Targacept, Inc. Acquires Marketed Drug to Expand its CNS Portfolio
Winston-Salem, NC
August 27, 2002
Targacept, Inc. today announced that it has acquired the drug Inversine® (mecamylamine HCl) from Layton Bioscience, Inc. The active ingredient in Inversine, mecamylamine HCl, is known to modulate nicotinic acetylcholine receptors, a property that Targacept believes holds promise for treating diseases of the central nervous system. Inversine is currently marketed for the management of moderately severe to severe essential hypertension and in uncomplicated cases of malignant hypertension.
Under the terms of the transaction, Targacept acquired Layton’s intellectual property, regulatory documentation, contracts and inventory related to Inversine. The deal also provides Targacept with exclusive worldwide rights to sell products that exploit patented technology of the University of South Florida relating to the use of mecamylamine HCl for the treatment of neuropsychiatric disorders. Financial terms were not disclosed.
“From a strategic perspective, Inversine is an excellent fit for Targacept,” said Dr. J. Donald deBethizy, president and chief executive officer of Targacept. “Not only is Inversine a marketed product with an established safety profile in patients, it’s also a product that interacts with the body’s neuronal nicotinic receptors, which is Targacept’s area of particular expertise. We believe that decades of patient use combined with our industry-leading knowledge of this new class of targets makes Inversine a very valuable asset for Targacept.”
Targacept plans to reformulate mecamylamine HCl for clinical testing in patients with various neuropsychiatric diseases and disorders. “With mecamylamine, we are eager to further demonstrate that neuronal nicotinic receptors play a pivotal role in addressing critical diseases of the central nervous system,” Dr. deBethizy said.
Merck & Co. introduced Inversine to the pharmaceutical market in 1956. Layton acquired Inversine from Merck in 1998 and, with the University of South Florida, initiated clinical testing of this drug in children for the treatment of Tourette’s Syndrome, but did not seek regulatory approval for this indication.
About Targacept, Inc.
Targacept, Inc., based in Winston-Salem, North Carolina, is a world leader in the discovery and development of neuronal nicotinic receptor-based therapies for neurodegenerative, neuropsychiatric and gastrointestinal diseases. The company has products in research and development for treating Alzheimer's disease, Parkinson's disease, Lewy body dementia, ulcerative colitis, depression, pain, anxiety disorders, and schizophrenia. Targacept was established in 1997 as a wholly owned subsidiary of R.J. Reynolds Tobacco Company. It was spun out as an independent company in August 2000, in one of the largest ($30.4 million) first-round venture capital financings in U.S. biotech history. The company has strategic alliances with Aventis Pharmaceuticals of Strasbourg, France and Dr. Falk Pharma of Freiburg, Germany to develop and commercialize Targacept compounds.
Targacept was named Pharmaceutical Company of the Year by NCEITA in 2001. For more information, please visit: www.targacept.com.
Inversine® is a registered trademark of Targacept, Inc.
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