Cidara says J&J development deal for CD388 remains intact (NASDAQ:CDTX)

Healthcare

, ,

Janssen headquarters in Silicon Valley — Sundry Photography

Cidara Therapeutics (NASDAQ:CDTX) said that its collaboration agreement with Johnson & Johnson's (NYSE:JNJ) Janssen Pharmaceuticals for its influenza drug candidate CD388 remains intact despite Janssen's decision to cease internal development of most of its infectious disease pipeline.

Cidara has an exclusive worldwide licensing and development agreement with Janssen for CD388, also known as JNJ-0953, for the prevention of influenza A and B. Janssen has not informed Cidara that it has any intention of terminating the deal, which calls for the companies to develop the product through Phase 2a.

CD-388 is currently in Phase 2 testing, according to Cidara's website. The product was given fast-track status by the US Food and Drug Administration in June.

After the Phase 2a data package is delivered to Janssen, it will have the option of pursuing development or licensing or assigning it to a third party. If Janssen opts not to proceed with development, Cidara will have the right to terminate the deal and retain rights to the program, it said.

Earlier Thursday, J&J reported better-than-expected Q2 earnings and boosted its 2023 outlook.