Transcept could land $90M after Purdue opts for sleep drug

Purdue Pharma LP exercised its option for U.S. rights to the middle-of-the-night sleep drug Intermezzo, developed by Richmond’s Transcept Pharmaceuticals Inc.
Transcept (NASDAQ: TSPT), which lost $30 million in potential Purdue payments after the Food and Drug Administration twice rejected the drug, now could receive up to $90 million in milestone payments.
The FDA finally approved Intermezzo last month. Purdue had until Dec. 8 to exercise its option on the lozenge, which is designed to help people go back to sleep for up to four hours after waking up in the middle of the night.