GTx has scored a rich deal for partnering with Merck on developing a new class of selective androgen receptor modulators for muscle loss [1] and other musculoskeletal conditions. GTx's lead therapy, Ostarine, is in mid-stage trials as a treatment for cancer patients experiencing muscle loss. Merck has agreed to take on the development costs of Ostarine and other SARM therapies developed in the collaboration. GTx gets a cash infusion of $40 million up front and another $15 million payment as a reimbursement for research costs. Another $422 million in scheduled milestones is on the line if the therapies can be successfully advanced. GTx shares surged about 20 percent this morning on the news.
- check out the release [2]
- read the report [3] from AFX
Related Articles:
GTx touts Acapodene data in cancer trial. Report [4]
The race is on for muscle-enhancing therapies. Report [1]
Who's next on the biotech buyout hit list? Report [5]
Links:
[1] http://www.fiercebioresearcher.com/story/race-muscle-enhancing-therapies/2007-10-23
[2] http://www.fiercebiotech.com/press-releases/press-release-gtx-and-merck-enter-global-strategic-collaboration
[3] http://money.cnn.com/news/newsfeeds/articles/newstex/AFX-0013-20765944.htm
[4] http://www.fiercebiotech.com/story/gtx-touts-acapodene-data-in-cancer-trial/2006-06-22
[5] http://www.fiercebiotech.com/story/whos-next-biotech-buyout-hit-list/2007-10-16