Shares of Adamis (ADMP) have been punched hard for several months due to the company’s inability to find a partner to commercialize its injector prefilled epinephrine syringe, Symjepi. Finally, Adamis has now entered into a deal with Swiss pharma company Novartis, though the terms of the deal were not disclosed. Adamis shares rose 35.94% on Monday following this news.
Billed as a low-cost alternative to existing treatments like Mylan’s (MYL) EpiPen, Adami’s Symjepi won the US FDA approval last year in June to treat allergic reactions including anaphylaxis. In November, the pediatric version of the injector was approved by the regulators. However, Symjepi that could generate hundred million in annual sales and didn’t get a chance to compete with Mylan as it didn’t find a commercial partner. When investors grew frustrated, the company hinted a potential partnership deal.
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Investors cheered the company’s latest move to sell the US commercial rights of Symjepi injector to Sandoz, a unit of Novartis. The deal includes 0.3mg injection, as the 15mg injection is currently awaiting the FDA approval.
The path to gain FDA approval was a rocky one for Symjepi. When Adamis failed to get the FDA nod for Symjepi in 2015 and 2016, the drugmaker lost Allergan’s (AGN) Watson Laboratories business unit as its commercialization partner. Outside the US, Adamis holds the rights to market Symjepi.
Adamis, meanwhile, did not disclose the pricing of Symjepi. EpiPen is sold for $600.