Genmab, Janssen in Cancer-Drug Licensing Deal
June 11 2019 - 12:36PM
Dow Jones News
By Chris Wack
Genmab A/S (GEN) said Tuesday it has entered into an exclusive
world-wide license and option agreement with Janssen Biotech Inc.
to develop and commercialize HexaBody-CD38, a next-generation human
CD38 monoclonal antibody cancer product incorporating Genmab's
proprietary HexaBody technology.
Genmab said in a release it will collaborate exclusively with
Janssen, a division of Johnson & Johnson (JNJ), on
HexaBody-CD38. Genmab will fund research and development activities
until completion of clinical proof of concept studies in multiple
myeloma and diffuse large B-cell lymphoma.
Based on the data from these studies, Janssen could exercise its
option and receive a world-wide license to develop, manufacture and
commercialize HexaBody-CD38. Should this occur, Janssen will pay
Genmab a $150 million option exercise fee and up to $125 million in
development milestones, as well as a flat royalty rate of 20% on
sales of HexaBody-CD38 until 2031, followed by 13%-20% tiered
royalties on sales thereafter.
Should Janssen not exercise its option, the terms of the
agreement allow Genmab to continue to develop and commercialize
HexaBody-CD38 for Darzalex-resistant patients, and in all other
indications except those multiple myeloma or amyloidosis
indications where Darzalex is either approved or is being actively
developed.
Genmab said that this deal won't materially impact its 2019
financial guidance.
Write to Chris Wack at chris.wack@wsj.com
(END) Dow Jones Newswires
June 11, 2019 13:21 ET (17:21 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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