Nobex is reacquiring intellectual property, data, rights and other assets from an insulin project with
GlaxoSmithKline.

Nobex said it intented to find a new partner for the project, including an oral insulin drug.

The lead drug, HIM2, is an oral insulin product that already was in Phase II clinical trials before Nobex struck its deal with GSK.

“This transaction followed a decision by GSK to end the alliance based on internal business decisions,” Nobex said in a statement.
Nobex had licensed to GSK rights to modified insulin molecules for various means of delivery. The alliance had been initiated in 2002.
GSK will continue to fund “to completion” ongoing studies related to the project, Nobex added.

“We have seen important advances in the technology and the drug development program during our period of work with GSK and remain confident of the commercial potential of our modified insulin products,” said Dr. Christopher Price, president and chief executive officer of Nobex, in a statement. “Although we are disappointed with GSK’s business decision not to pursue the insulin program with Nobex, we are enthusiastic to resume our insulin program and to seek a new partner with strong interests in metabolic disease.”

Nobex has developed what it says is a modified insulin that can be absorbed orally rather than through injection.

“The convenience of an oral insulin project would be of significant benefit to patients and may increase their compliance in taking insulin, so important to the long-term control of diabetes,” the company said.

Nobex raised $35 million in capital last August.

Nobex: www.nobex.corp.com