JAZZ - Jazz Sumitomo on Wednesday inked licensing deal for a sleep disorders treatment candidate

Jazz Pharmaceuticals (NASDAQ:JAZZ) and Japan's Sumitomo Pharma entered into a licensing agreement under which Jazz acquired the rights to make and sell Sumitomo's investigational compound DSP-0187, which has the potential to treat narcolepsy, idiopathic hypersomnia and other sleep disorders. As per the deal announced after hours on Wednesday, Jazz will get development and commercialization rights in the U.S., Europe and other territories, while Sumitomo will retain the rights in Japan, China and other Asia/Pacific territories. Sumitomo will get a $50M upfront payment, and is eligible to receive milestone payments of up to $1.09B. The deal expands Jazz's pipeline for sleep disorders, which also includes Sunosi, and the company's lead product Xyrem and its low sodium version Xywav. JAZZ stock -4.9% to $149.78 in afternoon trade after the company separately reported a Q4 2021 earnings miss.

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Jazz, Sumitomo on Wednesday inked licensing deal for a sleep disorders treatment candidate