Immunomedics, Inc., a biopharmaceutical company, and Belgium-based UCB SA have amended their development collaboration and license agreement for the exclusive worldwide rights to develop, market and sell Epratuzumab for all autoimmune disease indications. The restructuring provides UCB with the flexibility to select a partner to sub-license its rights for certain territories.
Under the terms of the amended agreement, in return for the right to sub-license, UCB returned its buy-in right for the cancer indication to Immunomedics.
Immunomedics will receive a non-refundable cash payment totalling $30 million upon execution of the amendment. In the event UCB exercises its right to sub-license, Immunomedics will be entitled to receive an additional cash payment of $30 million and additional payments upon achievement of new regulatory and sales milestones pursuant to the amended development, collaboration and license agreement. In addition, Immunomedics will issue to UCB a 5-year warrant to purchase one million shares of Immunomedics’ common stock at an exercise price equal to $8.00 per share.
“We are pleased with the amendment we have reached with Immunomedics. It allows UCB an opportunity to explore collaborations with third parties to take full advantage of the opportunities presented by epratuzumab. People living with lupus are suffering and waiting for therapeutic options. UCB strongly believes in partnership and in bringing epratuzumab to people living with severe autoimmune diseases - especially lupus,” said Iris Loew-Friedrich, EVP and chief medical officer of UCB.
“We are pleased with this amendment to our original Licensing Agreement with UCB, now permitting UCB’s sub-licensing of epratuzumab in certain territories and the unencumbered return to Immunomedics of the oncology indication,” commented Cynthia L Sullivan, president and chief executive officer of Immunomedics. “Furthermore, we believe the potential for UCB to sub-license Epratuzumab will add significant value to future development of this agent in the treatment of autoimmune diseases,” Sullivan added.
Epratuzumab is currently being evaluated in two phase III randomized, double blind, placebocontrolled, multi-centre trials (EMBODY1 and EMBODY2) for the treatment of patients with moderate to severe lupus.
UCB is a biopharmaceutical company dedicated to the research, development and commercialization of innovative medicines with a focus on the fields of central nervous system and immunology disorders.
Immunomedics is a biopharmaceutical company primarily focused on the development of monoclonal antibody-based products for the targeted treatment of cancer, autoimmune and other serious diseases.