Milestone payday for Vectura on new asthma therapy

Vectura Group's inhaler and formulation technology received a boost on Wednesday, with the completion of a significant milestone on the development of the VR315 product.

The FTSE 250 company confirmed that the clinical study report had been finalised, triggering a cash milestone payment to Vectura of $2m (£1.38m).

"VR315 is a dry, inhaled combination therapy of fluticasone and salmeterol, for asthma and chronic obstructive pulmonary disease, delivered using Vectura's proprietary dry powder inhaler and formulation technology", the company's board said.

Vectura was eligible to receive a further $21m upon achievement of future pre-determined development milestones on VR315, it said.

The next planned milestone and announcement scheduled for the programme was $10m, due to be paid upon acceptance for filing of the Abbreviated New Drug Application to the US Food and Drug Administration.

In addition, Vectura's board said the company would receive a royalty from all sales of VR315 in the United States.