A deal that would have seen Idorsia sell global rights to hypertension drug Tryvio (aprocitentan) has fallen through, leaving the cash-strapped pharma company to seek other avenues to secure funding.
Switzerland-based Idorsia revealed it had signed an agreement in November 2024 with an undisclosed party to sell the rights to the drug that has only been commercially available since October 2024. The deal would have seen Idorsia receive $35m, a fee it will now retain. However, the company said the agreement concluded without the potential buyer committing to the deal.
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Idorsia’s CEO André C Muller said it was “disappointing” that the undisclosed party did not sign the deal. He added that the company will resume discussions with other potential partners. The company has described the drug as having “blockbuster potential.”
Tryvio was approved by the US Food and Drug Administration (FDA) in March 2024, with the company launching the drug in the US in October 2024. It was also approved in Europe in July 2024 under the brand name Jeraygo. The oral drug is taken once daily for the treatment of systemic hypertension in combination with other antihypertensives.
When Idorsia announced the Tryvio deal collapse, it revealed an adjustment to an ongoing collaboration with Viatris. In March 2024, the two companies entered a research and development (R&D) partnership for a pair of Idorsia’s Phase III assets – the acute myocardial infarction treatment elatogrel and the systemic lupus erythematosus treatment cenerimod. Given low cash reserves, Idorsia will now not pay $100m in agreed development costs this year. In exchange, the company will miss out on $250m in potential milestone payments, as well as giving more territorial rights to Viatris for cenerimod.
Idorsia stated that the Tryvio deal collapse meant the company “needed to urgently secure cash from other sources”, leading to the Viatris deal update and a separate convertible bond restructuring, also announced today.
Shares in the Swiss-listed company opened 5% higher on the back of securing additional funding, despite the Tryvio deal disappointment.
Idorsia posted a net loss of SFr180m ($204m) for the first nine months of 2024 and has struggled with hitting its sales targets in recent years. Tryvio’s sale is part of a continued restructuring path as the company looks to secure a cash runway. In November 2024, Idorsia outlined 270 positions worldwide that were at risk of redundancy to curb R&D activity.
The insomnia treatment Quviviq (daridorexant) is the company’s top-selling drug, bringing in revenue of $35.1m in 2023. Idorsia expects 2024 sales to reach $61.4m, with Muller saying the company forecasts profitability for the drug to reach in 2026.
