Strategic Alliances

Titan has established partnerships with global pharmaceutical companies to enhance resources and minimize development costs. Titan also has secured grants from the National Institutes of Health (NIH) in support of their product development programs. This multi-pronged approach enables Titan to efficiently broaden the scope of its clinical development capabilities and accelerate its product development programs.

Titan and Bayer Schering Pharma have partnered on the development of Spheramine®, Titan's potential novel treatment for Parkinson's disease. Vanda Pharmaceuticals, Inc. acquired the worldwide rights to develop and commercialize iloperidone, a potential novel treatment for schizophrenia and related disorders.

Spheramine® - Bayer Schering Pharma

Titan entered into a strategic corporate partnership with Bayer Schering Pharma, formerly Schering AG, in February 2000 for the worldwide development, manufacture and potential commercialization of Spheramine. Under this partnership agreement, Titan and Bayer Schering collaborate closely on the manufacture and clinical development of Spheramine, and Bayer Schering reimburses Titan for certain research and development expenses. In addition, Bayer Schering funds all clinical studies of Spheramine, and has agreed to pay Titan certain product development milestone payments as well as royalties on any future product sales.

In July 2008, Titan announced the initial findings from its Phase IIb trial of Spheramine in patients with moderate to advanced Parkinson’s disease – Spheramine did not meet the trial’s primary or secondary endpoints and Titan expects that Bayer will not continue its development of Spheramine.

Iloperidone - Vanda Pharmaceuticals

Titan entered into a strategic corporate partnership with Novartis AG, whose subsequent partnership with Vanda Pharmaceuticals, Inc., gives Vanda the worldwide rights to develop, manufacture and potentially commercialize iloperidone. Iloperidone is Titan's proprietary antipsychotic agent for the potential treatment of schizophrenia and related disorders. A New Drug Application (NDA) for iloperidone is currently being reviewed by the U.S. Food and Drug Administration (FDA), with a PDUFA (FDA action) date of July 27, 2008.

Vanda is a pharmaceutical development company headquartered in Rockville, Maryland, founded by its Chairman, Dr. Argeris N. Karabelas, formerly CEO of Novartis Pharmaceuticals, and its CEO, Dr. Mihael Polymeropoulos, former Vice President of Pharmacogenetics at Novartis Pharmaceuticals.

Under its license agreement with Novartis, Vanda completed the iloperidone Phase III development program and product registration, submitting the NDA in September 2007. Titan's rights and economic interests in iloperidone, including royalties on future sales of iloperidone, remain unchanged from its original agreement with Novartis.