Orexo Ends Deprexis® Partnership With GAIA, Aims For Profitability Boost In 2025

Orexo AB has announced the mutual decision with GAIA AG to end their partnership agreement. The collaboration granted Orexo the right to commercialise the digital mental health program for depression, Deprexis®, in the United States. After a thorough review, both companies agreed that the rights to Deprexis would be returned to GAIA.

Nikolaj Sorensen, CEO and President of Orexo AB, said in a statement, “A prerequisite for Orexo to succeed with a sophisticated digital health product like Deprexis is a tight collaboration with healthcare providers and access to viable reimbursement routes, compensating for both the product and the healthcare provider’s time. We welcome the policy announcement from the Center for Medicare and Medicaid Services (CMS) in late October, enabling reimbursement of digital health programs. Still, additional investments are needed in Deprexis to meet the requirements of CMS from both technical and regulatory perspectives. Orexo and GAIA agree that the market opportunity with Orexo’s organisation doesn’t motivate such an investment for Deprexis.”

The termination will result in an impairment of intangible assets, impacting Orexo's income statement and equity in Q4 2024. Deprexis was valued at SEK 71 million on the Group's balance sheet as of the end of November, with SEK 63 million attributed to the parent company. Despite this impairment, the cash position remains unaffected. The company's 2024 outlook and its EBITDA guidance remain the same. In addition, the termination eliminates future expenses related to Deprexis, positively influencing profitability starting in 2025.