Seattle Genetics scores $900M cancer pact with Genentech
Genentech has anted up $12 million to expand its development pact for Seattle Genetics' antibody-drug conjugate (ADC) technology. And the Seattle biotech will now be able to play for a pot of cash that could swell to $900 million in fees and milestones.
Genentech has already shelled out $30 million to Seattle Genetics over the past eight years. Impressed by the technology's ability to match a tumor-targeting antibody with a cancer-killing toxin, Genentech now wants to expand its group of antigen targets. And in addition to the potential haul of fees and milestones--contingent on the commercialization of all the therapies covered in the expanded pact--Seattle Genetics can earn mid-single digit royalties on any products.
"We believe ADCs will play an important role in the future of cancer therapy. Genentech is committed to exploring the therapeutic potential of ADCs in a variety of hematologic malignancies and solid tumors," said James Sabry, vice president for Genentech Partnering. So far Seattle Genetics has banked $130 million from all the development pacts it has signed over the years.