A novel isotretinoin formulation for the treatment of severe recalcitrant nodular acne will soon be available from Ranbaxy. FDA approved Absorica (cis-isotretinoin), which is expected to launch in the fourth quarter of this year. Absorica was developed by Cipher and Galephar Pharmaceutical Research and will be distributed by Ranbaxy. Under the agreement, Cipher will receive a $9 million milestone from Ranbaxy, approximately US $4.5 million of which will be shared with Galephar. Going forward, Cipher will also receive royalties on net U sales and is eligible for future milestone payments based on sales targets. Under the agreement with Ranbaxy, Cipher is responsible for product supply and manufacturing.