Image via Wikipedia Red Hot Somaxon Pharmaceuticals is up heavily in trading today. The stock has done extremely well this year and will probably do even better after this deal was made today. Somaxon Pharmaceuticals (SOMX) is trading at 4.34 up 0.97 a 28.78% gain. Earlier today it reached a high of 5.43 before a strong selloff. The stock has been in a heavy downslide trend following it's March FDA approval. Look for things to get a little better after today with increased sales for insomnia medication Silenor
Somaxon Pharmaceuticals, Inc. (Somaxon) is a specialty pharmaceutical company focused on the in-licensing and development of product candidates for the treatment of diseases and disorders in the central nervous system therapeutic area. On March 18, 2010, the food and drug administration (FDA) notified the Company that it approved its New Drug Application (NDA) for Silenor (doxepin) three mlilligram and six milligram tablets for the treatment of insomnia characterized by difficulty with sleep maintenance. Silenor is an oral tablet formulation of doxepin at strengths of three milligram and six milligram. Doxepin has been marketed from 75 milligram to 300 milligram per day and is indicated for the treatment of depression and anxiety. The Company’s clinical development program for Silenor included four Phase III clinical trials, and the primary efficacy endpoint achieved statistical significance in each trial.
P&G, Somaxon Pharmaceuticals partner on insomnia drug
Procter & Gamble Co. reached a deal with Somaxon Pharmaceuticals Inc. for P&G sales representatives to promote a new insomnia drug.
The drug, Silenor, is a low-dose oral tablet taken within 30 minutes of bedtime. It is prescribed for insomnia that is characterized by difficulty going to sleep.
According to the co-promotion deal for Silenor, P&G (NYSE: PG) reps will target primary care doctors and physicians who write a high number of prescriptions for insomnia medication. San Diego-based Somaxon (Nasdaq: SOMX) reps will focus on specialists who treat insomnia. Working together, the companies will have about 215 sales employees targeting Silenor to 35,000 doctors and 25,000 pharmacies in the U.S., according to a press release.
Financial terms of the agreement weren’t disclosed, but Somaxon said it will record all sales and pay P&G a combination of fixed fees and royalties. Each party will be responsible for the costs of maintain its own sales force. The agreement runs through Dec. 32, 2012, and after that Somaxon will pay P&G a lower royalty based on sales for one year after the expiration date.
Also part of the deal, P&G will have the first crack at negotiating rights to develop and market Silenor as an over-the-counter drug in the U.S.
Procter & Gamble develops, manufactures and markets consumer products under such popular brands as Tide, Crest, Downy and Pampers. It also markets pharmaceuticals through its P&G Health Care unit. P&G is the parent company of pet food maker Iams Co., which was founded in Dayton.