KemPharm, a Coraville, Iowa-based clinical-stage specialty pharmaceutical company, has entered into a license agreement with Acura Pharmaceuticals, a Palatine, Illinois-based pharmaceutical company, for Acura to provide its proprietary Aversion technology to KemPharm to use with its current and in-development immediate release (IR) opioid product candidates. Acura’s Aversion technology is a composition of commonly used active and inactive pharmaceutical ingredients providing abuse-deterrent features for orally administered pharmaceutical drug products.

The agreement provides for an upfront cash payment of $3.5 million to Acura at execution and grants KemPharm development and commercialization rights for up to three IR product candidates containing two of KemPharm’s opioid prodrugs. Additional payments are provided should KemPharm exercise its option to use Acura’s Aversion technology with more than the three products. Acura is eligible to receive a royalty at a low single-digit rate based on commercial sales by KemPharm of all products developed under the agreement. KemPharm will solely own the intellectual property resulting from any new product development.

Source: KemPharm