Merck Serono takes lead role in antibody partnership
pharmafile | September 11, 2008 | News story | Research and Development | Merck Serono
Merck Serono has agreed to take on full responsibility for developing a promising antibody from its partner ZymoGenetics.
The German pharma company will now fund 100% of the programme to develop atacicept, which is currently in phase II/III for systemic lupus erythematosus and lupus nephritis, phase II in MS and RA, and phase I in haematological malignancies.
Merck Serono will also take over full responsibility for marketing the drug around the world if and when it reaches the market.
The move comes after the management of ZymoGenetics opted to hand over development and marketing to its partner in favour of earning royalties from its progress.
"This restructuring of our partnership with ZymoGenetics emphasises the importance of atacicept and our commitment to the programme," said Vincent Aurentz, executive vice president, portfolio management & business development at Merck Serono.
"It also demonstrates the need to be flexible in managing successful partnerships to maximize their potential."
ZymoGenetics president Douglas Williams said: "The broad, parallel path of development in lupus, multiple sclerosis, and rheumatoid arthritis could result in the most rapid availability of this drug to patients around the globe.
"Converting to a royalty position on atacicept allows ZymoGenetics to avoid a major capital commitment, reduce expenses and preserve cash over the next several years, while securing the value of our atacicept asset," he concluded.
The move means ZymoGenetics relinquishes the bulk of its financial commitment to the drug but will retain some value from its development work so far.
Merck Serono, meanwhile, will enjoy exclusive worldwide development and commercialisation rights, including in the potentially lucrative North America market, a move which "strengthens the overall strategic value of atacicept for Merck", the company said.
Merck will also make milestone payments to its partner.
As part of the changed contract, the companies have also altered their approach to research on other compounds which are candidates for the treatment of inflammatory diseases.
Merck will have the full responsibility for developing and commercialising another compound being co-developed, IL-17RC, which is a potential treatment for inflammatory bowel disease as well as MS and RA.
Meanwhile Seattle-based ZymoGenetics will now control IL-31mAb, which could be used for treating skin disease human atopic dermatitis.
These will be exclusively licensed for development and commercialisation to either company.
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