NEW YORK, Jan. 7-MDS Proteomics and Cephalon have struck a five-year joint drug development agreement, the two companies said today.
Under the agreement, MDS Proteomics will supply various proteomics technologies, including chemiproteomics, phosphorylation fingerprinting and protein interaction mapping, in order to improve clinical development of Cephalon's candidate compounds for central nervous system disease.
In return, MDS Proteomics will receive milestone payments and royalties on product sales. Cephalon has also purchased a $30 million 5 percent convertible note from MDS Proteomics. The note, which is due in 2010, is convertible into MDS Proteomics common stock at $22 per share.
MDS Proteomics is a privately held systems biology company based in Toronto.
Cephalon, a publicly held drug development firm, is headquartered in West Chester, Pa.