GlaxoKline in New Anti-inflammatory Drug Deal

[Guest guest]

GlaxoKline in New Anti-inflammatory Drug Deal

www.therapeuticsdaily.com/news/article.cfm?contentvalue=1875661 & contenttype=sent\

ryarticle & channelID=29#

AP Online - Dec. 23, 2008

LONDON--GlaxoKline PLC and Archemix Corp. said Tuesday they will work

together to develop drugs for inflammatory diseases in a deal that could be

worth as much as $1.4 billion.

The pharmaceutical companies, based in London and Massachusetts

respectively, said they will be studying aptamers, which bind to

disease-causing proteins to stop them from having an effect.

They hope to develop as many as seven new drugs to treat inflammatory

diseases like rheumatoid arthritis and inflammatory bowel disease, the

companies said in a joint press release.

Archemix will do the research into the potential new drugs, starting with

$27.5 million in upfront payments from GlaxoKline. Archemix will then

be eligible to receive up to $200 million in development, regulatory and

sales milestone payments for each of the seven drugs that could be developed

_ making the deal potentially worth more than $1.4 billion, according to the

statement.

If the drugs make it to the sales stage, Archemix would also receive

royalties " up to lower double digits " on worldwide sales, the release said.

Archemix Chief Executive Errol DeSouza told the Associated Press that it was

too early to comment on the likely timeframe for the deal, but that it was

already at the clinical trial stage with several other aptamer drugs.

" We're excited about working with GlaxoKline...to find where aptamers

could offer novel options to treat disease, " said DeSouza.