Recipharm, a contract development and manufacturing organization, has made an equity investment in Synthonics Inc. a drug-delivery company, and has purchased $2.0 million of preferred stock in the company. A further $2.0 million of preferred stock will be purchased upon Synthonics' achievement of certain milestones, which could be expected during 2016.

In addition, Synthonics and Recipharm have entered into a joint development agreement under which Synthonics gains access to Recipharm's expertise in drug development, marketingand manufacturing in exchange for a royalty payment on certain of Synthonics' compounds. Synthonics has developed drug-delivery technology for metal coordination of pharmaceutical active pharmaceutical ingredients. In connection with its investment, Recipharm's Executive Vice President, Technology and Development Carl-Johan Spak has joined Synthonics' board of directors.

Source: Recipharm