ChemoCentryx signs $1.5B collaboration pact

ChemoCentryx has signed a collaboration pact with GlaxoSmithKline that is worth up to $1.5 billion in scheduled milestones and fees. The small Mountain View, CA-based biotech will gain $63.5 million up front in cash and investment funds. Glaxo will also provide research funds in the deal, which revolves around developing new therapies from chemokine and chemoattractant receptors for inflammatory diseases. The pact includes ChemoCentryx's Traficet-EN, which is in late-stage development for inflammatory bowel disease. ChemoCentryx will retain the option to co-develop and to co-promote Traficet-EN in IBD to certain physician specialists in the U.S.

"This collaboration clearly demonstrates GSK's commitment to gain access to leading-edge, best anywhere science and we are excited by the opportunity to work with ChemoCentryx, the leading chemokine company, and their world class team," said Maxine Gowen, Ph.D., a senior vice president at GSK. "Accessing their expertise and four advanced chemokine programs, including, Traficet-EN in the clinic for IBD, will allow us to bring novel medicines to patients with high unmet need."

- read the report on the pact from MarketWatch