Merck Serono and Ablynx in agreement to research and develop
nanobodies
17 September 2008
Merck Serono, a division of Merck KGaA, Darmstadt, Germany, today
announced that it has entered into an agreement with Ablynx (Euronext
Brussels: ABLX), to co-discover and co-develop Nanobodies against two
targets in oncology and immunology. The agreement includes an upfront
cash payment to Ablynx of €10
million.
Nanobodies are a new class of therapeutic proteins that contain the
unique structural and functional properties of naturally-occurring
single domain antibodies. The partners will collaborate to research and
develop Nanobody-based therapeutics against two disease targets
exploiting some of the key benefits Nanobodies have over conventional
antibodies and other fragments.
Under the terms of the agreement, both companies will equally share
all research and development costs. Should Ablynx contribute equally to
each program, it will be eligible to receive fifty percent of the
resulting profits.
In addition, Ablynx will have an option to opt-out partly or fully
during the research and development programs, in which case the company
would be eligible to receive either a reduced profit share, in the case
of a partial opt-out, or milestones and royalties on potential sales, in
the case of a full opt-out.
Total development and commercial milestones, depending on the point
of opt-out by Ablynx, could reach up to €325
million should a product be approved in multiple indications in all
major markets.
"This collaboration reinforces our commitment to deliver innovative
treatments in areas of high unmet medical needs," said Dr Bernhard
Kirschbaum, Executive Vice President Research of Merck Serono. "We
believe that Nanobodies have the potential to provide innovative drugs
combining the best features of monoclonal antibodies and small
molecules, and we look forward to working with Ablynx."
"We are very pleased to enter into this partnership with Merck Serono,
a recognized global leader in the treatment of oncology and immunology
therapies. This type of risk and reward sharing collaboration underlines
Ablynx's maturing capabilities and collaboration strategy, whereby we
can leverage on the resources and expertise of our partners to advance
Nanobodies more quickly into the clinic while retaining an equal share
of the value created," commented Dr Edwin Moses, CEO and Chairman of
Ablynx.