Nottingham University spin-out agrees license for anti-obesity drug

Licensing

Global Health Ventures Inc agreed to acquire a nasally-delivered anti-obesity drug from Nottingham University spin-out Critical Pharmaceuticals Ltd. The compound on which the product is based is in late stage development elsewhere, but Critical has formulated the drug using its CriticalSorb nasal drug delivery technology. According to the company, this allows it to be delivered directly from the nasal cavity into the site of action in the brain.

Critical believes its formulation will be more effective than other forms of the drug being tested. The partners will reach a final agreement in the near future, subject to outstanding conditions being met.  Global Health will assume responsibility for commercialisation and will pay all future costs. No financial details were disclosed.

Global Health Ventures is a healthcare technology merchant bank, which in-licenses technologies for further development and re-licensing to major pharmaceutical companies. Traditional venture capital and private equity firms usually invest in companies, but Global Health license, or buy, products from biotech companies with insufficient resources to take them forward. The firm develops the technologies to the mid-stage Phase III clinical trials and then sells or licenses them to major pharmaceutical, biotechnology or speciality pharma.

Critical Pharmaceuticals’ proprietary technology enhances the delivery of drugs via the nasal cavity to the brain, bypassing the problems associated with the blood-brain barrier. The technology increases the delivery of drug compounds to the brain several-fold over other methods of administration, thus making it feasible for the drugs that act on the central nervous system to reach effective concentrations.