A Medical Device Daily
NexMed (East Windsor, New Jersey), a developer of products based on the NexACT technology, said that the U.S. Patent & Trademark Office has issued a notice of allowance for its U.S. patent application titled, "Antifungal Nail Coat and Method of Use." The patent, when issued, will cover NM100060, a topical application of terbinafine formulated with NexACT for the treatment of onychomycosis.
NexMed entered into an exclusive, worldwide agreement with Novartis (Basel, Switzerland) in September 2005, under which Novartis assumed all development, manufacturing, and commercialization responsibilities for NM100060. Pursuant to the terms of the agreement, NexMed, having paid the issuance fee for the allowed U.S. patent, is now entitled to receive a $2 million milestone payment.
Mark Westgate, CFO of NexMed, commented, "In addition to the $2 million patent milestone, NexMed will also receive $1.5 million from Novartis for the remaining 50% of the patient enrollment milestone. This $3.5 million contractual payment will significantly strengthen our cash reserves."
NexMed management further noted that due to the extensive delay in the review and processing of NexMed's application for the patent, the U.S. Patent and Trademark Office added an additional 756 days to the life of the patent, which has already been included in the 'coverage to' date.
NexMed is leveraging its NexACT drug delivery technology to develop topical pharmaceutical products that address unmet medical needs.