Seattle Genetics, Inc., Genmab A/S Partner In $211 Million Antibody-Drug Pact

Seattle Genetics, Genmab Partner in $211 Million Antibody-Drug Pact

September 10, 2014

By Krystle Vermes, Breaking News Staff

Seattle Genetics, Inc. , announced today that it has entered into an antibody-drug conjugate collaboration with Genmab A/S. As a result of the agreement, Genmab will pay $11 million for exclusive rights to Seattle Genetics’ ADC technology with Genmab’s HuMax, an antibody targeting AXL, which is present in multiple types of solid cancers.

"This collaboration with Genmab further extends the reach of our industry-leading ADC technology for use with novel oncology targets, while providing us with a compelling financial value proposition as the program advances," said Natasha Hernday, vice president of corporate development at Seattle Genetics. "Genmab's impressive track record in the development of antibody-based therapies for the treatment of cancer, including an ADC in a Phase I clinical trial for solid tumors utilizing Seattle Genetics technology from our first agreement, make them a strong partner for this new collaboration."

Seattle Genetics is a biotechnology company that is focused on the development of antibody-based therapies for the treatment of cancer. Genmab is an international biotechnology company that looks at the development and creation of human antibody therapeutics for cancer.

Seattle Genetics will also become entitled to receive $200 million in potential milestone payments and mid-to-high single digit royalties on worldwide net sales of resulting products. The company will have the right to exercise an option to increase the royalties to double digits in exchange for the reduction of milestone payments owed by Genmab in the event of a Phase 3 study for new products.

"This new collaboration with Seattle Genetics adds another ADC program to our innovative pre-clinical pipeline of antibodies developed using the latest technological advances in cancer therapeutics. Pre-clinical work identified AXL as an excellent target for an ADC therapeutic approach," said Jan van de Winkel, chief executive officer of Genmab.

"Accessing state-of-the art technology of companies such as Seattle Genetics who are experts in their field provides another means for Genmab to develop differentiated cancer therapeutics while retaining maximal ownership of our therapeutic products," he said.

HuMax-TF-ADC targets the tissue factor antigen and is in a Phase 1 trial for solid tumors. Seattle Genetics now has the right to exercise a co-development option to share all future costs and profits by the end of the Phase 1 trial.

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