Ipsen provides update on Inspiration agreement

Ipsen has announced its former strategic partner Inspiration Biopharmaceuticals has failed to raise third-party financing by the contractual deadline of September 30th.

The specialty-driven pharmaceutical company, which reported total sales exceeding 1.1 billion euros (888 million pounds) in 2001, claimed both parties are continuing to explore various options.

As a result, Ipsen revealed it is no longer obligated to pay the additional 12.5 million dollar (7.8 million pounds) in exchange for the company's equity.

The decision was made after Inspiration entered into a strategic agreement with the pharmaceutical firm in 2010, which intended to use the expertise and resources of the two organisations to develop new products to treat hemophilia.

Last August, both firms announced the deal had been extended to create a hemophilia business unit structure to act as the exclusive sales arm for all products commercialised under the Inspiration brand in Europe.

Ipsen and Inspiration renegotiated their agreement this year, aiming to establish a structure where the former company gains commercial rights in key markets.