Core Viewpoint - DURECT Corporation has sold its ALZET® line of osmotic pumps to Lafayette Instrument Co. for 17.5 million for certain assets and liabilities associated with the ALZET product line [2]. - The transaction enabled DURECT to pay off all remaining obligations under its term loan agreement with Oxford Finance LLC, enhancing its financial flexibility [2][3]. Strategic Focus - DURECT is prioritizing the development of larsucosterol for alcohol-associated hepatitis (AH) and has determined that the ALZET product line no longer aligns with its long-term strategic priorities [3]. - The sale strengthens DURECT's cash position and extends its cash runway through the first half of 2025, which is crucial for funding the planned Phase 3 clinical trial for larsucosterol [3]. Product Information - The ALZET product line consists of miniature, implantable osmotic pumps designed for research use in laboratory animals, capable of delivering drugs and hormones at controlled rates [5]. - These pumps have been referenced in over 22,000 published scientific studies, indicating their wide application in laboratory research [5]. Company Overview - DURECT Corporation is a late-stage biopharmaceutical company focused on developing epigenetic therapies for serious conditions, including acute organ injury [6]. - Larsucosterol, the company's lead drug candidate, is in clinical development for the treatment of AH and has received Fast Track and Breakthrough Therapy designations from the FDA [6].
DURECT Corporation Announces Sale of ALZET® Product Line to Lafayette Instrument Co. for $17.5 Million