MSRD, which identifies and supports early-stage opportunities that can change the landscape of treatments for mental illness and renal disorders, will exclusively evaluate and scientifically review the compounds, in exchange for providing IRLAB with an upfront payment. MSRD and IRLAB may, after the evaluation, agree to expand activities into a collaboration to continue to develop the compounds as pharmaceutical products.
 
Gunnar Olsson, Chief Executive Officer of IRLAB, said, “There is an increasing interest from the pharma industry in our development programs. This is highly encouraging since it is an external validation of our ability to develop competitive programs with attractive market potential. MSRD, an Otsuka company, has followed us and the preclinical candidates for a while now, and we have been impressed by their commitment to developing novel treatments for neurological disorders to improve patient outcomes. We are looking forward to the coming months of further discussions with MSRD regarding a potential R&D collaboration for our neuropsychiatric programs.”