IDT names US distributor for generic cancer drug

IDT Australia (ASX:IDT) has secured US distribution for its generic temozolomide cancer treatment product.

The company has selected Mayne Pharma’s US products division to be the exclusive distributor of the product in the market.

Under the terms of the deal, Mayne Pharma will be the exclusive distributor for IDT’s temozolomide in the US for at least an initial 10 years, subject to minimum order requirements.

The agreement calls for upfront payments to IDT upon execution of the deal, specified regulatory milestones and other events. IDT will also be entitled to a share of profits of any US sales.

Temozolomide is approved for the treatment of melanoma and glioblastoma multiforme. The drug had US sales of around $340 million for the 12 months ending in May.

IDT filed an Abbreviated New Drug Application for temozolomide in November, and the application is making its way through the FDA’s review process.

The application forms part of IDT’s strategy of building up a portfolio of specialty generic drugs. The company has announced plans to acquire or develop additional products for the portfolio over the next 12-18 months.

IDT Australia (ASX:IDT) shares were trading 3.85% higher at $0.27 as of around 2 pm on Tuesday.