Pain Therapeutics, Durect jump as Pfizer to continue Remoxy development

|About: Pain Therapeutics (PTIE)|By:, SA News Editor

Pain Therapeutics (PTIE) and Durect (DRRX) get a bit of good news as Pfizer (PFE) will continue to develop Remoxy.

According to PTIE, PFE will proceed with the additional clinical studies and other actions required to address the CRL."

Deal economics are unchanged: $15M to PTIE upon approval, 15% of the first $1B in net sales to PTIE (the rate goes to 20% of U.S. net sales after that), ex-U.S. royalty rate is 10%. Supplemental payment of 6-11.5% of net sales is also due to PTIE and is "tied to ... financial obligations to" DRRX. (PR)

Interestingly, both PTIE and DRRX spiked on October 17, seemingly without explanation.

PTIE +25% premarket, DRRX +13%