Will TorreyPines Sale of Its Alzheimer Genetics Research Save the Company?

 |  Includes: ESALY, TPTX
by: Eben Tessari

TorreyPines Therapeutics, Inc. (TPTX) Tuesday announced that it has agreed to sell its Alzheimer’s disease genetics research program to Eisai Co., Ltd. for an upfront cash payment. TorreyPines and Eisai have collaborated on the genetics program since 2002, with the most recent agreement between the parties concluding on September 30, 2008. The Alzheimer’s disease genetics research program focused on the discovery of Alzheimer’s disease targets using whole-genome family-based association screening.

TorreyPines stock is down ~97% on the year and they are running out of cash so I can’t imagine they got a great deal on this program (hence withholding the price), but when you’re fighting to stay alive, any cash that gets you to the next milestone is important.