PII has expanded the range of drug delivery solutions it can offer clients through collaboration with NexMed, which gives the contract formulation company access to transdermal technology.
The companies have entered into a Memorandum of Understanding, which will allow PII to offer its clients use of NexACT, NexMed's transdermal drug delivery technology.
Hem Pandya, NexMed's chief operating officer, outlined the benefits for his company, saying: "We are very pleased to enter into this collaboration with PII. The strategic goal is to broaden the promotion of our technology and permit us access to PII's research and development and commercial manufacturing infrastructure.
“We will also be able to continue with our current product development efforts at significantly reduced monthly overhead expenses."
NexACT facilitates the transdermal delivery of high concentrations of a therapeutic by interacting with the polar region of the phospholipid bilayer and also by increasing the motional freedom of lipid hydrocarbon chains.
Boost bucks and cut costs
Given the cash-flow difficulties facing many companies in the current climate NexMed’s decision to cut overheads may prove prudent.
NexMed’s revenues in the first nine months of last year rocketed to $2.5m, up from $860,000 in the previous year but current cash reserves dropped to $1.4m from $2.7m at the end of 2007.
The collaboration with PII follows on from the sale of the US rights for erectile dysfunction treatment Vitaros to Warner Chilcott.
NexMed decided to sell the rights to gain a cash injection and cut expenditure, which would have been significant if it resubmitted its new drug application (NDA).