Thursday, October 27, 2011

Biogen Idec, Portola Pharma form potential $554M deal

By Michelle Lang

Biogen Idec Inc. has teamed with Portola Pharmaceuticals Inc. of California in an exclusive licensing deal that may have the Weston-based biotech paying potentially up to $553.5 million to Portola.

The collaboration deal relates to the development of novel oral Syk inhibitors – based particularly on the companies’ co-developed lead molecule PRT062607, currently in Phase 1 trials – to treat autoimmune and inflammatory diseases.

Under terms of the deal, Biogen Idec will provide Portola with a $36 million upfront payment in cash, plus a $9 million Portola equity payment. The Weston biotech may also give Portola up to $508.5 million in milestone payments. The collaboration calls for Biogen to head up global development and commercialization of the oral Syk inhibitors for major treatment plans – including rheumatoid arthritis and lupus – in which Portola has an option to co-promote in the U.S. Portola will lead U.S. development and commercialization of Syk for smaller indications, as well as for newly discovered initiatives. Profits and costs from the worldwide commercialization of the oral Syk inhibitors will be shared by both companies, with Biogen taking 75 percent and Portola the remaining 25 percent, according to a news release from the two companies.

“This program plays to our strengths and experience in immunology, particularly B-cell biology, reflects our focus on cutting-edge science, and strengthens our early-stage pipeline,” Doug Williams, executive vice president of research and development at Biogen Idec, said in a news release.

Biogen just announced Wednesday that it had received positive top-line data from the second of two Phase 3 trials for its potential oral therapy for multiple sclerosis, BG-12.