PRINCESTON, New Jersey (AFX) - Bristol-Myers Squibb Co said it has granted Otsuka Pharmaceutical Co Ltd exclusive rights in Japan to develop and commercialise saxagliptin, a potential treatment for type 2 diabetes.

Bristol-Myers said the compound is currently in phase 3 development in the US and Europe.

Bristol-Myers said it will receive an upfront fee, which was not specified, milestone payments, based on "regulatory events", and sales-based payments after regulatory approval of saxagliptin in Japan.

Bristol-Myers added it wil retain rights to jointly promote the treatment, although Otsuka will be responsible for all development costs in Japan. newsdesk@afxnews.com wj

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