- Under a new agreement, Novartis will transfer all U.S. and Canadian rights for Fanapt (iloperdione) back to Vanda Pharmaceuticals. In addition, Novartis will make an equity investment of $25 million in Vanda.
- Novartis will also grant Vanda exclusive marketing rights for a new psychotropic drug that is in development—AQW051, a phase II alpha-7 nicotinic aceythlcholine receptor partial agonist.
- Fanapt is indicated for the treatment of schizophrenia.
Although development and marketing partnerships between pharmaceutical companies are a good way to leverage various strengths and maximize synergies, some relationships just aren't meant to be.
This is the case with Vanda and Novartis. Based on the outcomes, it seems that Vanda, which had retained its distribution partnerships in Mexico and Israel, has succeeded in accomplishing its goals for Fanapt.