SurModics says Merck drops it as partner

By Associated Press
September 17, 2008 | Comments (0)

Recs

1

Panic 2008... Profit 2009!

Fool -- Now's the time to invest! David and Tom Gardner's new book reveals their strategy for million dollar wealth.

Buy Now!

SurModics Inc., which makes products to deliver pharmaceuticals to patients, said Wednesday Merck & Co. plans to stop a collaboration agreement the two signed in 2007.

The Eden Prairie, Minn., company said the move triggers a $9 million payment to SurModics. Merck's decision was not based on the safety of SurModics products, the company said.

The two were exploring the safety and effectiveness of SurModics' I-vation TA system for delivering eye medication.

Under the original deal, announced in 2007, SurModics was to receive an upfront licensing fee of $20 million and be eligible for fees up to $288 million for providing the I-vation system.

SurModics shares slumped $6.31, or 16 percent, to $32.80 in electronic aftermarket trading. The stock's 52-week range is $36.25 to $56.75. It closed Wednesday at $39.11.

Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

DocumentId: 730277, ~/articles/articlehandler.aspx, 1/8/2009 12:11:11 AM

Sign up for FREE Motley Fool site access!

Already registered? Login Here

It’s FREE! Enter your email address, and we’ll rush you to the article you're looking for right now.

Privacy / Legal Information

We will use your email address only to keep you informed about updates to our web site and about other products and services that we think might interest you. The Motley Fool respects your privacy. Please read our Privacy Statement

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.