Unilife (NSDQ:UNIS) said today it amended a clinical supply agreement with Novartis (NYSE:NVS) to supply it with additional batches of Unilife’s drug delivery device for use with a novel investigational drug.
The agreement, originally signed in 2013 to supply them with the deliver devices for a targeted early-stage pipeline drug, was also amended to include an optoin for exclusivity.
“Our collaboration with Novartis for the supply of a customized delivery device to support the clinical trial of this novel therapy continues to progress favorably. We look forward to supporting Novartis in the advancement of this therapy, which requires a high-precision delivery system to enable its accurate administration to the target organ of the human body,” Unilife chief medical officer Dr. Rick Beckman said in a press release.
Unilife will generate revenue based on its clinical product supplies, and both companies said the deal will support clinical development and eventual approval of the therapy, which is targetting a “high prevalence disease where no pharmacological treatments are currently available,” according to a press release.
Earlier this month, Unilife said it plans to lay off about 50 workers, or roughly 17% of its workforce, after reporting wider losses for its fiscal 4th quarter and full-year 2015 and missing expectations on Wall Street.
Saying it now has a lineup of products to cover its target markets, York, Pa.-based Unilife said it’s looking to lower its operating expenses by cutting its R&D spend by 25% to 30% and reducing its sales, general & administrative costs by about 20%. Earlier this month Unilife tapped Morgan Stanley to help it evaluate “strategic alternatives.”
