TIDMAZN
RNS Number : 4518L
AstraZeneca PLC
03 October 2016
This announcement contains inside information
03 October 2016 07:00
MEDIMMUNE OUT-LICENSES POTENTIAL MEDICINE
FOR INFLAMMATORY DISEASES TO ALLERGAN
AstraZeneca today announced that MedImmune, its global biologics
research and development arm, has entered into a licensing
agreement with Allergan plc for the global rights to MEDI2070.
MEDI2070 is an IL-23 monoclonal antibody currently in a Phase IIb
clinical trial for moderate-to-severe Crohn's disease (a chronic
inflammatory disease of the intestines) and is ready for Phase II
for ulcerative colitis (a chronic inflammatory condition of the
colon and rectum). These diseases are outside AstraZeneca's three
main therapy areas - Respiratory, Cardiovascular & Metabolic
Diseases, and Oncology. MedImmune will continue the ongoing Phase
II trials until a mutually-agreed transition date.
Under the terms of the agreement, Allergan will make an upfront
payment to AstraZeneca of $250 million for the exclusive, worldwide
licence to develop and commercialise MEDI2070. In addition,
Allergan may make potential additional payments to AstraZeneca of
up to $1.27 billion, dependent on the achievement of agreed upon
success-based development and sales-related milestones, and pay
tiered royalties on potential sales of the medicine.
MedImmune has been leading the clinical development for MEDI2070
under a collaboration agreement AstraZeneca entered into with Amgen
Inc. (Amgen) in March 2012. Under the conditions of this agreement,
AstraZeneca will subsequently pay Amgen one third of all payments
and royalties received from Allergan. Amgen will also receive a
single-digit percentage inventor royalty on MEDI2070.
Bahija Jallal, Executive Vice President, MedImmune, said: "This
agreement demonstrates our sharp focus on three main therapy areas
while creating value from the increased R&D productivity and
innovative science in our pipeline through collaborations. Allergan
has significant experience in gastrointestinal and inflammatory
diseases and is the right partner to progress the development and
commercialisation of MEDI2070."
David Nicholson, Chief Research & Development Officer,
Allergan, said: "MEDI2070 represents an exciting addition to our
Open Science pipeline, adding an important new programme currently
being studied in Crohn's disease, with potential across a number of
inflammatory and autoimmune disorders. The MEDI2070 programme also
reinforces Allergan's commitment to bringing forward important
innovations in the treatment of inflammation and autoimmune
disorders where significant unmet need exists across many of our
therapeutic areas. We look forward to bringing our significant
clinical development and regulatory expertise to bear and
maximising the potential benefit of this possible new treatment
option for patients."
Financial considerations
The transaction is expected to close in the fourth quarter of
2016, subject to customary closing conditions, including the
expiration or early termination of the waiting period under the
Hart Scott Rodino Act. AstraZeneca is expected to retain around
$167 million of the upfront payment and up to around $847 million
in future potential milestones, as well as the tiered royalty
payments of up to low double-digit percent, following payment to
Amgen under the provisions of the original agreement. As
AstraZeneca will not retain a significant ongoing interest in
MEDI2070, any revenue will be reported as Other Operating Income in
the Company's financial statements. The agreement does not impact
AstraZeneca's financial guidance for 2016.
About Allergan plc
Allergan plc, headquartered in Dublin, Ireland, is a bold,
global pharmaceutical company and a leader in a new industry model
- Growth Pharma. Allergan is focused on developing, manufacturing
and commercializing branded pharmaceuticals, devices and biologic
products for patients around the world.
Allergan markets a portfolio of leading brands and best-in-class
products for the central nervous system, eye care, medical
aesthetics and dermatology, gastroenterology, women's health,
urology and anti-infective therapeutic categories.
Allergan is an industry leader in Open Science, the Company's
R&D model, which defines our approach to identifying and
developing game-changing ideas and innovation for better patient
care. This approach has led to Allergan building one of the
broadest development pipelines in the pharmaceutical industry with
65+ mid-to-late stage pipeline programs in development.
Our Company's success is powered by our more than 16,000 global
colleagues' commitment to being Bold for Life. Together, we build
bridges, power ideas, act fast and drive results for our customers
and patients around the world by always doing what is right.
With commercial operations in approximately 100 countries,
Allergan is committed to working with physicians, healthcare
providers and patients to deliver innovative and meaningful
treatments that help people around the world live longer, healthier
lives every day.
For more information, visit Allergan's website at
www.Allergan.com.
About MedImmune
MedImmune is the global biologics research and development arm
of AstraZeneca, a global, innovation-driven biopharmaceutical
business that focuses on the discovery, development and
commercialization of small molecule and biologic prescription
medicines. MedImmune is pioneering innovative research and
exploring novel pathways across Respiratory & Autoimmunity,
Cardiovascular & Metabolic Diseases, Oncology, and Infection
and Vaccines. The MedImmune headquarters is located in
Gaithersburg, Md., one of AstraZeneca's three global R&D
centres, with additional sites in Cambridge, UK and Mountain View,
CA. For more information, please visit www.medimmune.com.
About AstraZeneca
AstraZeneca is a global, science-led biopharmaceutical company
that focuses on the discovery, development and commercialisation of
prescription medicines, primarily for the treatment of diseases in
three therapy areas - Respiratory, Cardiovascular & Metabolic
Diseases, and Oncology. The Company is also selectively active in
Neuroscience and Autoimmunity. AstraZeneca operates in over 100
countries and its innovative medicines are used by millions of
patients worldwide. For more information please visit:
www.astrazeneca.com
CONTACTS
Media Enquiries
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+46 8 553 260
Jacob Lund Sweden 20
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Investor Relations
UK
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Larsen +44 203 749 5712
Finance, Fixed +44 7881 615
Craig Marks Income, M&A 764
Nick Stone Respiratory +44 203 749 5716
Henry Wheeler Oncology +44 203 749 5797
Neuroscience
Christer Gruvris & Autoimmunity +44 203 749 5711
US
Cardiovascular
Lindsey Trickett & Metabolic Diseases +1 240 543 7970
Mitchell Chan Oncology +1 240 477 3771
Toll free +1 866 381 7277
Adrian Kemp
Company Secretary
AstraZeneca PLC
-ENDS-
This information is provided by RNS
The company news service from the London Stock Exchange
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