The Swiss drugmaker will be joining forces with the emerging US pharmaceuticals company for developing advanced therapies on liver cirrhosis.
For global industry leaders eyeing to increase their market capitalization, extending their product portfolio and raking in more revenues by improving their top-selling products becomes a feasible measure. Likewise, global leader in healthcare & pharmaceuticals industry, Novartis, has pledged to collaborate with budding drugmaker in the US to develop new product line for liver cirrhosis treatment medications. Novartis International AG recently announced that it will broaden its portfolio on liver-treating drugs by exclusively collaborating with Conatus Pharmaceuticals, and signing a licensing agreement on the developed therapies.
Based in San Diego, California, Conatus Pharmaceuticals Inc. will be signed by Novartis as its collaborator in development of advanced medicines for treatment of liver diseases. Along with Novartis, the US-based biotechnology company will jointly develop an investigational, oral, and pancaspase inhibitor called emricasan. According to reports, emricasan will be a first-in-class drug developed for treatment of liver diseases such as non-alcoholic steatohepatitis (NASH). The agreement will enable Conatus to license this drug by testing its effect on treatment of NASH with advanced fibrosis and cirrhosis. In return, Novartis will start by laying out an estimated US$ 50 million for Conatus’ R&D. Upon development of emricasan, both healthcare companies will benefit by helping medical organizations, pharmacies and doctors realize the advantage of using this medication during multiple stages of treating fatty liver disease.
Novartis also asserted the lack of medications that treat such complex liver disorders throughout their various stages. A collaborative achievement by the drugmaker with this emerging biotech specialist will help them garner surplus revenues in an untapped medication market. Business opportunities for Conatus are most likely to spiral upward as the company will be partaking in the licensing of emricasan, along with Novartis. Development of emricasan by Conatus will be a part of Novartis’s project on developing Farnesoid X Receptor (FXR) agonists, which will also play a crucial role in curing chronic liver diseases for patients in the US and around the world. Researchers at Conatus will also be targeting their efforts towards reduction of fat, fibrosis, and inflammation in the liver of NASH patients