AbbVie, Sosei ink drug discovery deal worth USD 1 billion

The partnership will initially focus on the discovery of novel small molecules, targeting inflammatory and autoimmune diseases, the companies said in a news release.

Published On 2020-06-26 07:16 GMT   |   Update On 2020-06-26 07:28 GMT
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Japan: Japan's Sosei Group Corp will collaborate with AbbVie Inc on a drug discovery partnership that could be worth up to $1 billion.

Sosei shares soared 12.4 per cent in Tokyo trading, compared with a 1.2 per cent slide in the broader market.

The partnership will initially focus on the discovery of novel small molecules, targeting inflammatory and autoimmune diseases, the companies said in a news release.

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Sosei is eligible to receive up to $32 million in upfront and near-term milestone payments, along with future commercial milestones of up to $377 million, plus tiered royalties on sales.

The companies will work to discover and commercialise medicines that modulate G protein-coupled receptor (GPCR) targets.

Chicago-based AbbVie has the option to expand the collaboration to a total of four targets.

An expansion to four targets would put the total deal size "in a similar ballpark" to deals signed in 2019 with Genentech Inc and Takeda Pharmaceutical Co, a Sosei spokesman said.

The Genentech deal is worth up to $1 billion, while the Takeda partnership could total $1.2 billion.

Read also: DoP, Minister review development of bulk drug, medical device parks to reduce dependency on imports


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Article Source : Reuters

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