Healthcare Industry News: TRU-015
News Release - January 3, 2006
Wyeth Announces Strategic Collaboration with Trubion PharmaceuticalsDevelopment & Commercialization of Innovative SMIP Biopharmaceuticals
MADISON, N.J., and SEATTLE, Jan. 3 (HSMN NewsFeed) -- Wyeth Pharmaceuticals, a division of Wyeth (NYSE: WYE ), and Trubion Pharmaceuticals, Inc. announced today that they have formed a strategic alliance for the discovery, development and commercialization of novel biopharmaceutical products to treat inflammatory disease and cancer. The alliance will utilize Trubion's proprietary Small Modular Immunopharmaceutical (SMIP(TM)) technology.
SMIPs represent a novel class of immunotherapeutics with enhanced drug properties over monoclonal and recombinant antibodies. SMIPs are smaller than antibodies and can reach sites unavailable to larger molecules while exhibiting selective binding and long in vivo half-lives, which means the medicine is metabolized more slowly by the body suggesting less frequent dosing will be needed. These novel compounds can be expressed in mammalian cells and customized for many disease targets.
As part of the alliance, Wyeth and Trubion will collaborate on the development and commercialization of CD20-targeted therapies including TRU-015, a novel SMIP compound currently in phase 2 clinical development for the treatment of rheumatoid arthritis (RA). TRU-015 is designed to deplete B cells -- a new therapeutic strategy for B cell mediated autoimmune and inflammatory disorders such as RA and also a promising strategy for certain cancers with malignant B cells.
Trubion and Wyeth also will collaborate on a multi-target discovery program focused on the development of certain other biopharmaceutical products for major indications with unmet medical needs. Wyeth will receive worldwide rights to CD20-targeted SMIPs as will as SMIP product candidates from the discovery program.
As part of the transaction, Trubion received an initial $40 million payment. Trubion will retain an option to co-promote CD20-targeted therapies in the United States for certain indications. Wyeth will be responsible for future development and commercialization costs for the alliance. The agreement also provides for additional payments to Trubion upon the achievement of certain development milestones, royalties on product sales, and a stock purchase when Trubion makes a qualified initial public offering. If all milestones are achieved the total payments to Trubion could exceed $800 million, excluding royalties and co-promotion fees.
"Wyeth is excited about the development of TRU-015 for RA as well as the potential application of TRU-015 in other chronic inflammatory and B cell mediated diseases," says Robert R. Ruffolo, Ph.D., President, Wyeth Research and Development and Senior Vice President, Wyeth. "We are proud to partner with Trubion because of the high quality of their science in an area that matches well with two of Wyeth's key therapeutic areas -- inflammation and oncology."
"We look forward to working with Wyeth both to maximize the commercial potential of TRU-015 and to leverage the productivity of Trubion's SMIP technology platform. Trubion chose Wyeth for this collaboration because of its leadership in the field of rheumatoid arthritis, bioprocess development and its success in the commercialization of biopharmaceuticals," says Peter A. Thompson, MD, FACP, President and Chief Executive Officer, Trubion Pharmaceuticals. "The strength of Wyeth's science and global capabilities makes this collaboration a great fit for Trubion."
Wyeth Pharmaceuticals is the fourth largest fully integrated biotechnology pharmaceutical company in the world with capacity to discover, develop, manufacture and commercialize biological therapeutics.
Wyeth is one of the world's largest research-driven pharmaceutical and health care products companies. It is a leader in the discovery, development, manufacturing and marketing of pharmaceuticals, vaccines, biotechnology products and nonprescription medicines that improve the quality of life for people worldwide. The Company's major divisions include Wyeth Pharmaceuticals, Wyeth Consumer Healthcare and Fort Dodge Animal Health. Wyeth Pharmaceuticals has leading products in the areas of gastroenterology, women's health care, cardiovascular disease, central nervous system, inflammation, hemophilia, oncology, and vaccines. For additional information visit www.wyeth.com.
Trubion Pharmaceuticals is a biopharmaceutical company focused on the discovery, development and commercialization of novel medicines to treat inflammatory disease and cancer. Trubion was founded in Seattle, Washington in 2002 to utilize proprietary technology to develop medicines that are more effective and safer than currently available therapies. For additional information visit www.trubion.com.
The statements in this press release that are not historical facts are forward-looking statements based on current expectations of future events that involve risks and uncertainties including, without limitation, risks associated with the inherent uncertainty of pharmaceutical research, product development, manufacturing, and commercialization, and economic conditions, including interest and current exchange rate fluctuations, the impact of competitive or generic products, product liability and other types of lawsuits, the impact of legislative and regulatory compliance and obtaining approvals, and patents, and other risks and uncertainties, including those detailed from time to time in Wyeth's periodic reports, including quarterly reports on Form 10-Q and the Annual Report on Form 10-K, filed with the Securities and Exchange Commission. Actual results may vary materially from the forward-looking statements. The Company assumes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.
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