Thursday, Depomed Inc. (DEPO) received a second $500,000 milestone payment under its worldwide license agreement from Covidien. The agreement focuses on the exclusive development of four acetaminophen/opioid analgesic combination products utilizing Depomed's Acuform gastric retentive drug delivery technology. The most recent payment from Covidien, which was received in December 2009, relates to the development of a formulation for the second product candidate under the collaboration.
Under the license agreement between Depomed and Mallinckrodt Inc., a Covidien company, Depomed received a one-time upfront payment of $4 million, a milestone payment for the first formulation in October 2009, and could receive up to $63.5 million in additional development milestone payments over the next several years. In addition, Covidien will pay Depomed a royalty on sales of products developed under the license agreement. Covidien is responsible for all development other than certain initial formulation work.
Depomed's Acuform technology is designed to enable extended and controlled release of oral medications in the upper gastrointestinal tract for once-daily administration, improved treatment tolerability and enhanced compliance and efficacy.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.