Procter & Gamble (NYSE: PG) has inked a deal for its sales reps to promote an insomnia drug developed by San Diego-based Somaxon Pharmaceuticals Inc.
P&G’s sales force will sell the drug, Silenor, to primary care physicians, while Somaxon’s reps will sell to specialists who treat insomnia. A combined sales force of 215 will promote the drug, according to a statement (pdf) from the two companies.
The deal was appealing to P&G because it gives the consumer products giant the first shot at negotiating with Somaxon to develop and sell an over-the-counter version of the drug, if the company deems that a viable option, according to P&G spokeswoman Suzette Middleton.
Middleton said the deal with Somaxon is P&G’s only one in which its sales representatives promote a prescription drug developed by another company. P&G employs about 100 pharmaceutical sales reps, who primarily promote the company’s over-the-counter products.
Last August P&G sold its prescription pharmaceuticals business for $3.1 billion to Irish firm Warner Chilcott.
Under the terms of the current deal, Somaxon will pay P&G a combination of fees and royalties based on U.S. sales of the drug. The deal runs through the end of 2012.
Silenor was approved for U.S. sales by the Food and Drug Administration in March.
