Oncology candidates derived using HuCAL technology to be developed by Daiichi.

Daiichi Sankyo  extended its antibody therapeutics collaboration with MorphoSys  selecting two new antibody targets against which MorphoSys  will generate antibodies using its HuCAL antibody library technology.

Daiichi Sankyo acquired the targets through its buy out of U3 Pharma last year. Daiichi Sankyo will be responsible for all preclinical and clinical development of the new antibodies, and has worldwide marketing rights to any resulting products. MorphoSys will receive license fees and development-related milestone and royalty payments.

The companies’ collaboration to develop therapeutic antibodies using MorphoSys’ HuCAL antibody library technology was initiated in 2006, and in 2008 the contracting period was extended by three years to March 2011, giving Daiichi Sankyo the option to develop and commercialize up to six HuCAL-derived therapeutic antibodies. The collaboration now includes four active antibody therapeutics programs.

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