Curis and Wyeth partner for neurological disorders theraputics

[Guest guest]

(Finally Curis got a new neuro partner so looks like we'll be hearing

more about sonic hedgehog protein in the future~ G)

Curis Announces Strategic Partnership with Wyeth Pharmaceuticals to

Develop Therapeutics for Neurological Disorders

Potential value to Curis of more than $170 million including license

payments,

research support, and development and approval milestones

CAMBRIDGE, MA, January 12, 2004 - Curis, Inc. (NASDAQ:CRIS) has licensed

its

Hedgehog proteins and novel small molecule Hedgehog pathway agonists

(activators) to Wyeth Pharmaceuticals, a division of Wyeth (NYSE: WYE),

for therapeutic applications in the treatment of neurological and other

disorders. Under the terms of the agreement, Wyeth Pharmaceuticals will

pay Curis a license fee (in cash and equity), financial support for a

minimum of two years of Curis research dedicated to the program, and

additional cash payments to Curis upon the successful achievement of

clinical development and drug approval milestones.

Wyeth Pharmaceuticals will also pay a royalty on net product sales that

escalates with increasing sales volume. Excluding product royalties, the

transaction has a potential value to Curis of more than $170 million,

assuming at least two products are successfully developed.

As part of the agreement, Curis has retained development and licensing

options for certain therapeutic applications of the Hedgehog activator

technologies, including those applications that qualify as orphan drug

indications, topical applications for hair growth, local delivery

applications for treatment of cardiovascular disease, and use of the

technology with stem cells. Wyeth has an option to acquire the orphan

drug indications and the cardiovascular applications, pending certain

success criteria.

Passeri, Curis’ President and Chief Executive Officer, stated,

“We are very

pleased to have Wyeth Pharmaceuticals as a partner for our Hedgehog

activator

technologies. Wyeth is one of the world's largest research-driven

pharmaceutical

companies. Wyeth’s broad range of pharmaceutical interests is an

excellent match

with Curis to fully exploit the wide array of potential indications for

the Hedgehog

activator technologies. We believe that this agreement will provide the

most

effective clinical path forward for Curis’ neurology drug development

candidates.”

The Hedgehog signaling pathway has many biological properties, the best

known

of these being the promotion of healing of nerve tissues. Curis’ small

molecule

Hedgehog agonists are orally available compounds that can cross the

blood-brain

barrier and have demonstrated therapeutic efficacy in several models of

neurological disease, including Parkinson’s disease and stroke.

Parkinson’s disease and stroke are two areas of significant unmet

medical need. The National institutes of Health estimates that there are

at least 500,000 people in the United States who suffer from the effects

of Parkinson’s disease, with approximately 50,000 new cases reported

annually. It is also estimated that there are as many as 700,000 strokes

each year in the U.S.

Dr. Lee Rubin, Curis’ Chief Scientific Officer, commented, “Curis’

success in

discovering small molecules that can stimulate the Hedgehog signaling

pathway has provided a significant opportunity to develop a novel class

of drugs for the treatment of damaged nerve tissues. In addition, recent

observations indicate that these same small molecules can also stimulate

the replication of stem cells in the brain, which may open a much larger

opportunity of promoting the regeneration of new nerve tissues following

injury or disease.”