Friday, May 23, 2008

Avant taps Marucci as interim CEO, gets FDA OK for Pfizer deal

By Mass High Tech

The Federal Trade Commission has cleared a licensing deal between a subsidiary of Avant Immunotherapeutics Inc. and pharmaceutical giant Pfizer Inc.

The deal, in which Pfizer agreed to license a cancer vaccine from the Celldex Therapeutics unit of Needham-based Avant (Nasdaq: AVAN), was announced in April 2008. Pfizer, based in New York, has agreed to pay an initial sum of $40 million and to invest $10 million in Avant stock for exclusive rights to the vaccine, CDX-110.

Pfizer has also agreed to pay Avant milestone fees of more than $390 million linked to development of the vaccine. Avant would also receive royalties from Pfizer on potential sales of the vaccine, which is now in Phase 2 clinical trials for a type of brain cancer called glioblastoma multiforme.

In related news, Avant has named Anthony Marucci as its interim CEO after long-time chief executive Una Ryan announced her resignation from the company May 14. Prior to the appointment, Marucci had been interim CEO of Celldex, a New Jersey-based biotech firm that merged with Avant in the first quarter of 2008.

Avant reported a 2007 net loss of $21.6 million on revenue of $5.1 million.