Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

Connect with us

Hi, what are you looking for?

slide 3 of 2
THE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & LifestyleTHE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & Lifestyle

Technology

Technology

Seattle Genetics/Immunomedics Deal Plagued By Funding Issues

Seattle Genetics and Immunomedics signed a development and licensing agreement on Friday that required Seattle Genetics to pay Immunomedics $250 million up front for the license of IMMU-132. The drug is Immunomedic’s proprietary solid tumor therapy candidate, which is currently in development and on course to file for accelerated approval by mid-2017. The deal is valued at $2 billion in total, $1.7 billion of which is to be paid by Seattle Genetics in the form of clinical development, manufacturing, and sales.

Immunomedics retains the right to consider other offers before closing, while Seattle Genetics has the first right of refusal to match the other offers. Should the clinical-stage biopharmaceutical company not choose Seattle Genetics, Immunomedics must pay the biotechnology company a termination fee.

If the deal is finalized, Bothell-based Seattle Genetics will have the exclusive global rights to develop, manufacture, and commercialize IMMU-132. While still in clinical trials, new data shows an improved overall survival rate for patients with triple-negative breast cancer. Typically, median overall survival in patients receiving first-line therapy for the disease is around 12 months; the latest data from Immunomedics shows this survival extended to almost 19 months due to the ADC (antibody-drug conjugate).

Lead investigator Linda Vahat, M.D., says that these results are excellent “in this very advanced and heavily pre-treated group of patients who have exhausted virtually all therapeutic options.”

Vahat added that she had “never seen these types of responses before” in the patient group used, and “if there was no alopecia, this would be a perfect therapy.”

Clay Siegall, founder and CEO of Seattle Genetics, said: “This agreement would add a promising late-stage ADC to our pipeline as we continue making progress towards our goal of becoming a global, multi-product oncology company.”

At the heart of the deal, however, lies the problem of funding. Seattle Genetics currently has $612 million in cash equivalents and will need to fundraise to make the milestone payments of up to $1.7 billion plus royalties, according to research analyst Micheal Sheikh. Furthermore, Seattle Genetics is losing money in core business with flat licensing revenues, and losses from operations have almost doubled, creating a clear funding gap.


Comment Template

You May Also Like

Health

Study Shows Talking Therapy’s Impact on Menopause-Related Mindfulness, group, and cognitive behavioral therapy (CBT) are emerging as effective treatments for menopause symptoms, including low...

Business

Amgen, a prominent biotechnology company, recently announced that it will be investing $2.7 billion into Chinese biotech company BeiGene. This way, they will buy...

Politics

Maine governor Paul LePage (R) vetoed a bill that if passed, would have banned gay conversion therapy throughout the entire state. LePage vetoed the...

Notice: The Biznob uses cookies to provide necessary website functionality, improve your experience and analyze our traffic. By using our website, you agree to our Privacy Policy and our Cookie Policy.

Ok