Sumitomo Dainippon Pharma Co. Ltd., its U.S.-based subsidiary Sunovion Pharmaceuticals Inc. and Otsuka Pharmaceutical Co. Ltd. have inked a global collaboration agreement to jointly advance four new compounds for serious neuropsychiatric conditions. Sunovion granted Otsuka rights to collaboratively develop and commercialize the four compounds worldwide. In return, Sunovion will receive an up-front payment of $270 million and up to $620 million in development milestone payments for the agents, with the potential for more depending on additional indications. It could also receive sales milestones from Otsuka.