Abbott Laboratories and Biotest AG Seal $470 Million Pact Over Arthritis Drug
Published: Jun 21, 2011
ABBOTT PARK, Ill. and DREIEICH, Germany, June 21, 2011 /PRNewswire/ -- Abbott and Biotest AG today announced a global agreement to develop and commercialize BT-061, a novel anti-CD4 antibody for the treatment of rheumatoid arthritis (RA) and psoriasis. BT-061 is currently in Phase II clinical trials for RA and psoriasis, with preclinical studies underway to study its potential use in other immune-related diseases.
CD4 is expressed on T-cells and is involved in T-cell mediated modulation of immune responses. BT-061 is a humanized monoclonal antibody that works by activating the body's T-regulatory cells, a subset of T-cells, strengthening a natural function of the body that prevents excessive immune reactions. Unlike other anti-CD4 antibodies that have been in development, BT-061 does not cause depletion of CD4 positive T-cells that would give rise to weakened immune responses.
"Though the research is still early, BT-061 has the potential to become an important treatment option for patients suffering from autoimmune diseases," said John Leonard, M.D., senior vice president, global research and development, Abbott. "This novel compound will strengthen Abbott's immunology pipeline and we look forward to continuing to build on our expertise in exploring multiple mechanisms and approaches to treat inflammatory diseases."
"Biotest is pleased to continue the development of BT-061 together with Abbott, one of the world leaders in the development and commercialization of biologic drugs for the treatment of immunological diseases," emphasized Prof. Dr. Gregor Schulz, CEO of Biotest AG. "With its tremendous experience in the field and its global commercial strength and presence, Abbott is the perfect partner for maximizing the therapeutic and commercial potential of BT-061."
Under the terms of the agreement, Abbott and Biotest will co-promote BT-061 in the five major European markets (Germany, France, United Kingdom, Italy and Spain) and Abbott will have exclusive global rights to commercialize BT-061 outside those countries. Biotest will receive an upfront fee of $85MM. Pending achievement of certain development, regulatory, commercial and sales-based milestones, Biotest would be eligible to receive additional milestone payments from Abbott, potentially amounting to a total of $395MM, and royalties. Biotest will be responsible for manufacturing the initial clinical supply of BT-061 and the companies will share responsibility for commercial production.
Biotest will hold a conference call for journalists and analysts today at 4 p.m. CET.
Dial in numbers:
Germany: +49 (0) 6103 485 3000
United Kingdom: +44-207-153-2027
USA: +1 480-629-9673
Conference ID: 444 87 48
Should you experience any difficulty during the conference, please press *0 for help desk.
This document contains forward-looking statements on overall economic development as well as on the business, earnings, financial and assets position of Biotest AG and its subsidiaries. These statements are based on current plans, estimates, forecasts and expectations of the company and are thus subject to risks and elements of uncertainty that could result in significant deviation of actual developments from expected developments. The forward-looking statements are only valid at the time of publication. Biotest does not intend to update the forward-looking statements and assumes no obligation to do so.
Biotest is a provider of pharmaceutical and biotherapeutic drugs. With a value added chain that extends from pre-clinical and clinical development to worldwide sales, Biotest has specialised primarily in the areas of application of clinical immunology, haematology and intensive medicine. In its Plasma Protein segment, Biotest develops and markets immunoglobulins, coagulation factors and albumins based on human blood plasma. These are used for diseases of the immune and haematopoietic systems. In the Biotherapeutic segment, Biotest researches into the clinical development of monoclonal antibodies, including in the indications of rheumatoid arthritis and cancer of plasma cells. Biotest has more than 1.600 employees worldwide. The preference shares of Biotest AG are listed in the SDAX on the Frankfurt stock exchange.
Abbott Forward-Looking Statements
Some statements in this news release may be forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995. Abbott cautions that these forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those indicated in the forward-looking statements. Economic, competitive, governmental, technological and other factors that may affect Abbott's operations are discussed in Item 1A, "Risk Factors," to our Annual Report on Securities and Exchange Commission Form 10-K for the year ended Dec. 31, 2010, and are incorporated by reference. Abbott undertakes no obligation to release publicly any revisions to forward-looking statements as a result of subsequent events or developments.
Abbott (NYSE: ABT) is a global, broad-based health care company devoted to the discovery, development, manufacture and marketing of pharmaceuticals and medical products, including nutritionals, devices and diagnostics. The company employs nearly 90,000 people and markets its products in more than 130 countries.
Abbott's new releases and other information are available on the company's Web site at www.abbott.com.