Amgen, Arrowhead Form RNAi Cardiovascular Pacts in $674 Million Deal
By

Amgen has formed two license and collaboration agreements with Arrowhead Pharmaceuticals, a Pasadena, California-based biotechnology company, to develop and commercialize RNA interference (RNAi) therapies for cardiovascular disease using Arrowhead’s proprietary subcutaneous RNAi delivery platform in a deal valued up to $674 million.

Together under both agreements, Arrowhead will receive $35 million in upfront payments; $21.5 million in an equity investment by Amgen in Arrowhead common stock; and up to $617 million in option payments, and development, regulatory, and sales milestone payments. Amgen receives a worldwide, exclusive license to Arrowhead’s RNAi ARC-LPA program under one agreement. ARC-LPA, Arrowhead’s first drug candidate to use a subcutaneously administered delivery construct, is designed to reduce production of apolipoprotein A, a component of lipoprotein(a), which has been genetically linked with increased risk of cardiovascular diseases, according to information from Arrowhead. Under the second agreement, Amgen receives an option to a worldwide, exclusive license for a RNAi therapy for an undisclosed cardiovascular target. In both agreements, Amgen will be wholly responsible for clinical development and commercialization.

Arrowhead is further eligible to receive single-digit royalties for sales of products against the undisclosed target and up to low double-digit royalties for sales of products under the ARC-LPA agreement. Additional financial terms of the agreements were not disclosed.

The closing of the ARC-LPA transaction is subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and is expected to close before the end of the fourth quarter of 2016.

Source: Amgen

Leave a Reply

Your email address will not be published.