|Seattle Genetics signs licensing deal with Abbot for anti-cancer treatment technology|
|By Deborah Sterescu-Proactiveinvestors|
|Tuesday, 22 March 2011 13:57|
Seattle Genetics (NASDAQ:SGEN) announced Tuesday that it has signed a development deal with Abbott (NYSE:ABT) for the company's anti-cancer antibodies technology.
Under the terms of the deal, Abbott will pay an upfront fee of $8 million for rights to use Seattle's antibody-drug conjugates (ADC). ADCs are monoclonal antibodies that deliver anti-cancer agents to targeted tumor cells. The company's technology is intended to spare non-targeted, or healthy cells, thereby reducing the toxic effects of traditional chemotherapy.
As part of the agreement, Abbott will be responsible for research, development, manufacturing and commercialization of any ADC products. Seattle Genetics will also be eligible to receive up to roughly $200 million in milestone payments, as well as royalties on worldwide sales pending certain regulatory and commercial achievements.
"This is the second ADC collaboration with a multinational pharmaceutical company that we have announced this year, further illustrating the important role that our ADC technology is poised to play in the treatment of many types of cancer," said chief business officer at Seattle Genetics, Eric L. Dobmeier.
Seattle Genetics currently has 11 active ADC collaborations with companies including Bayer, GlaxoSmithKline and Pfizer, and has generated more than $155 million from ADC licensing deals to date.
In February, the company submitted a license application to the US FDA for its lead product candidate, brentuximab vedotin, a drug for the treatment of relapsed hodgkin lymphoma.