Servier and Galapagos inked multiyear partnership worth potentially €260 million (about $348 million) and focused on developing cancer therapeutics against targets discovered by both firms. Under terms of the deal, Galapagos will receive research access payments of €2 million and will be responsible for the discovery and development of new drug candidates.

Servier has an exclusive option to license each small molecule program after preclinical development by its partner and will be responsible for further worldwide (except the U.S.) clinical development, registration, and commercialization for any program it licenses. Galapagos will retain exclusive U.S. development and commercialization rights to resulting products.

Galapagos and Servier already have an ongoing osteoarthritis drug discovery and development alliance, which was initiated in July 2010. Under terms of this deal Galapagos retains exclusive U.S. commercialization rights to any marketed products.

Servier and Galapagos Embark on Cancer Drug Alliance Valued at €260M

Program will focus on both firms’ targets and gives Servier non-U.S. options to each candidate after preclinical development.