Plexxikon and Roche Ink Cancer Deal, Potentially Worth $700M
New treatment modality for patients who carry B-RafV600E gene being pursued.!--h2>
Plexxikon and Roche entered into an agreement to develop and commercialize PLX4032, Plexxikon’s investigational targeted cancer therapy that selectively inhibits B-RafV600E, a mutated form of the BRAF kinase gene.
PLX4032 may offer a new treatment modality for the estimated 100,000 cancer patients in the U.S. who carry the B-RafV600E gene, according to the companies. Plexxikon recently filed an IND application for PLX4032 and plans to initiate a Phase I trial by the end 2006.
Under the terms of the agreement, Roche will pay Plexxikon $40 million as an upfront payment and a further $6 million in guaranteed research funding over the next two years. In addition, Plexxikon could potentially receive up to approximately $660 million over the term of the collaboration, based on the successful completion of a series of development and commercial milestones for multiple indications and/or multiple compounds, as well as royalties on potential product sales.
Also under the collaboration, Roche and Plexxikon will jointly develop PLX4032 and follow on compounds targeting other BRAF kinase mutations. Roche will have a worldwide, exclusive license to develop and commercialize PLX4032, in addition to other anticancer compounds resulting from the partnership. Plexxikon retains the right to co-promote any product in the collaboration in the U.S.