Servier agrees deal with Cortex

Cortex Pharmaceuticals has entered into an agreement with Servier to sell its remaining rights to the jointly discovered high impact AMPAKINE compound, CX1632 (S47445).

Servier has provided an immediate, non-refundable payment of $1m to Cortex for the option to expand its rights. If Servier exercises the option to acquire sole ownership of the patent rights to CX1632 prior to October 31, 2011, it will pay Cortex an additional $2m, as well as certain royalties and milestone payments to the University of California.

During the option period, Cortex and Servier remain joint owners of the patents and patent applications relating to CX1632. Cortex currently has rights to develop and market CX1632 in North America and selected South American countries, as well as Australia and New Zealand.

On or before October 31, 2011, Servier may exercise its option to acquire sole ownership of the global patent rights to CX1632, along with a sub-license of Cortex's rights to all indications licensed from the University of California for use with CX1632. Cortex will not be entitled to any royalties or further payments from Servier's development and commercialisation of CX1632. Cortex retains all rights for the remaining AMPAKINE technology on a worldwide basis.

Dr Emmanuel Canet, head of Servier R&D, said: "We are committed to finding innovative treatments for patients suffering from Alzheimer's disease, and AMPA modulation is a promising way to improve cognitive disorders in such patients."