Johnson & Johnson is buying into Metabolex's program for diabetes and other metabolic conditions with a new collaboration pact that provides a $40 million equity stake and up to $508 million in milestones. J&J has capped its equity stake at 19 percent. Metabolex has two diabetes drugs in development: metaglidasen in Phase II/III and MBX-2044. The biotech company also has programs in obesity and blood fat disorders. In the deal, Metabolex retained U.S. co-promotion rights and a significant royalty stream.
"This agreement enables Metabolex to build a significant franchise in metabolic disease. Not only does the agreement include development and commercialization of our lead best-in-class type 2 diabetes products, but it also enhances and broadens our mid-stage clinical programs and advances our pipeline with the screening collaboration on novel targets capable of producing future, first-in-class therapies," said Harold E. Van Wart, Ph.D., president and CEO of Metabolex.
- here's the release on the deal