Thursday, Jan 8, 1998
London and South San Francisco, Calif. -- January 8, 1998 --Pharmacia & Upjohn, Inc. (NYSE:PNU) and Genentech, Inc. (NYSE:GNE) today announced an agreement that provides exclusive worldwide rights to Pharmacia & Upjohn for Genentech's thrombopoietin (TPO), a compound being evaluated for use in treating cancer patients suffering complications from chemotherapy.
Under the terms of the agreement, Pharmacia & Upjohn and Genentech will jointly develop TPO, and Pharmacia & Upjohn will have exclusive rights to market TPO worldwide. Genentech will manufacture the product both for development and commercialization. Pharmacia & Upjohn will pay future development costs and is making licensing payments to Genentech of $35 million between 1997 - 2000. Pharmacia & Upjohn will expense these payments in the fourth quarter of 1997. Also, if the compound is commercialized, Genentech will provide TPO to Pharmacia & Upjohn for a transfer price and royalties.
Patients undergoing chemotherapy can experience debilitating and therapy-limiting complications and TPO appears to improve patients' ability to tolerate treatment," said Goran Ando, M.D., executive vice president and president, research & development, Pharmacia & Upjohn. "The acquisition of this innovative compound underscores our commitment to developing in-licensed compounds to supplement our own research pipeline."
"Our partnership with Pharmacia & Upjohn on the future development of TPO ensures a strong development partner with worldwide oncology experience. This will allow broad development of TPO, maximizing the value of this opportunity without diverting resources from other products in our pipeline, and at the same time will accumulate a substantial commercial return for Genentech," said Arthur D. Levinson, Ph.D., Genentech president and chief executive officer.
TPO is currently in Phase II clinical trials for the treatment of thrombocytopenia (a condition in which platelets are sharply reduced) caused by chemotherapy and for stem cell transplant (a form of very intensive chemotherapy). Results of Phase I trials demonstrated that TPO is well tolerated and biologically active.
Genentech, Inc. is a leading biotechnology company that discovers, develops, manufactures and markets human pharmaceuticals for significant unmet medical needs. Eleven of the currently marketed biotechnology products stem from Genentech science. Genentech markets or promotes eight biotechnology products in the United States. The company has headquarters in South San Francisco and is traded on the New York Stock Exchange and the Pacific Exchange under the symbol GNE.
Pharmacia & Upjohn is a global, innovation-driven pharmaceutical and health care company. Pharmacia & Upjohn's products, services and employees demonstrate its commitment to improve wellness and quality of life for people around the world.
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