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MENLO PARK, Calif.—Depomed Inc. recently announcedthat it has acquired all rights to Zipsor (diclofenac potassium) liquid-filledcapsules from Xanodyne Pharmaceuticals Inc. Zipsor is a non-steroidalanti-inflammatory drug (NSAID) indicated for relief of mild to moderate acutepain in adults. The product uses proprietary ProSorb delivery technology to reportedlydeliver a finely dispersed, rapidly absorbed formulation of diclofenac.
 
 
Zipsor, which was introduced by Xanodyne in 2009,achieved approximately $19 million of net sales in the 12 months ended May 31,2012. Depomed acquired the product in return for $25.9 million of cash andpotential milestone payments based on sales of Zipsor and assumption of certainliabilities.
 
 
"We are pleased to expand our portfolio of painproducts with the addition of Zipsor to our sales force of 164 reps and 78 flexreps that today are detailing Depomed's Gralise (gabapentin)," said JimSchoeneck, president and CEO of Depomed. "Zipsor is an NSAID that we believe isdifferentiated in the pain space, allowing rapid absorption of the lowest availableoral dose of diclofenac." 
 
With current sales of approximately $19 millionannually, he added, Zipsor will have an immediate positive impact on Depomed'sfinancials.
 
"We believe we will have the runway to achievesignificant returns for our shareholders from this acquisition, with the OrangeBook listed patents for Zipsor expiring in 2019 and 2029," Schoeneck noted. "Weplan to utilize our sales force to promote Zipsor to pain specialists,neurologists, and high prescribing PCPs [primary care physicians], includingthose we currently detail for Gralise in addition to current prescribers ofZipsor."
 
 


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