Chapel Hill drug company Pozen announced Tuesday that it has entered into a licensing agreement to development and commercialize MT 400, its experimental migraine drug, in Europe.
It's the third licensing agreement Pozen's signed for MT 400 in the past 14 months.
The latest deal with Desitin Arzneimittel GmbH covers the European Union and Switzerland and Norway.
Desitin will make payments of $3 million to Pozen, with $500,000 due on the signing of the agreement and the rest after milestones are reached.
In November, Pozen agreed to sell the U.S. royalty payment rights to MT 400 to CPPIB Credit Investments, a Canadian investment firm, for $75 million.
In March 2011, Pozen reached a licensing agreement with Cilag GmbH International to develop and commercialize MT 400 in Brazil, Colombia, Ecuador and Peru.
Most of Pozen's revenue comes from Treximet and its Vimovo arthritis pain reliever, sold by AstraZeneca.
The company is also developing an easier-to-stomach aspirin, PA32540, that combines aspirin and a gastrointestinal medicine. The drug is aimed at helping to prevent heart disease and stroke in patients who are susceptible to aspirin-induced ulcers.