Genmab A/S announced it has reached a milestone in its DuoBody technology platform collaboration with Janssen Biotech, Inc., triggering a $3 million payment. The milestone payment is for pre-clinical progress with a DuoBody product candidate targeting cancer.
“This milestone marks further progress in our DuoBody collaboration with Janssen. There are now 10 bispecific antibody programs initiated out of a total of 20 under this commercial agreement, which was expanded last year,” said Jan van de Winkel, Ph.D., chief executive officer of Genmab. The news will not impact Genmab’s 2014 financial guidance.
Under the original agreement, Janssen has the right to use the DuoBody technology to create panels of bispecific antibodies (up to 10 DuoBody programs) to multiple disease target combinations with Genmab research funded by Janssen. Genmab received an upfront payment of $3.5 million (approx. DKK 21 million on the date of the agreement) from Janssen in July 2012 and will potentially be entitled to milestone and license payments of up to approximately $175 million (approx. DKK 1,062 million on the date of the agreement), as well as royalties for each commercialized DuoBody product.
According to a December 2013 amendment, Janssen is entitled to work on up to 10 additional programs. Genmab received an initial payment of $2 million (approximately DKK 11 million on the date of the amendment) from Janssen. For each of the 10 additional programs that Janssen successfully initiates, develops and commercializes, Genmab will potentially be entitled to milestone and license payments of up to approximately $174 million (DKK 956 million on the date of the amendment) to $219 million (DKK 1.2 billion on the date of the amendment), depending on the date each program is initiated.