In order to spread risks and costs, and to optimize both time to market and market efficiency, Active Biotech strives to sign collaboration agreements with other companies i.e. major pharmaceutical and other biotech companies.
On April 18, 2011 - Active Biotech and Ipsen entered into a broad partnership to co-develop and commercialize Active Biotech’s investigational compound Tasquinimod “TASQ”.
Under the terms of the agreement, Active Biotech granted Ipsen exclusive rights to commercialize TASQ worldwide, except for North and South America and Japan where Active Biotech retains all commercial and marketing rights. Both companies will co-develop TASQ for the treatment of castrate-resistant prostate cancer, with the possibility to develop TASQ in other cancer indications.
Active Biotech is responsible for conducting and funding the on-going Phase III pivotal clinical trial and will receive up to €200 million consisting of an upfront payment of €25 million and additional payments contingent upon achievement of clinical, regulatory and commercial milestones. In addition, Ipsen will pay Active Biotech progressive double-digit royalties on its net sales and will conduct and fund a European supportive study in prostate cancer patients out of its R&D budget. Eventual costs to develop TASQ in future other cancer indications will be shared.
On June 14, 2004 – Active Biotech signed an agreement with Teva Pharmaceutical Industries Ltd., to develop and commercialize laquinimod, Active Biotech's novel immunomodulatory compound, which has the potential to be an orally available disease modifying treatment of multiple sclerosis (MS).
Teva has the exclusive rights to develop, register, manufacture and commercialize laquinimod worldwide.
Teva intends to complete the clinical development program and will conduct Phase III studies.
Teva will pay an upfront payment of 5 million USD to Active Biotech and they will conduct and fund the further clinical development of laquinimod. The contract between the two companies also calls for Teva to make payments to Active Biotech upon the achievement of various milestones, which include sales targets. If such milestones were all to be met, payments to Active Biotech would aggregate to 92 million USD. Active Biotech will also receive tiered double digit royalties on sales of the product, once marketed.
On June 3, 2004 – Active Biotech AB announced an agreement with Richter-Helm BioTec GmbH & Co. KG (former Strathmann Biotec AG) in Germany. The agreement involves the process development and manufacturing of Active Biotech's TTS (Tumor Targeted Superantigens) cancer product ANYARA, primarily for the treatment of renal cell cancer (RCC).
The agreement is based on co-development of the product. Richter-Helm will take an active part in the project and share a part of the financial risk. Active Biotech's initial development costs for the project will decrease and in return, Richter-Helm is entitled to a limited royalty on Active Biotech's income from future milestones and sales. The potential royalty to be paid is maximized to EUR 10 Millions.
On April 4, 2002 – A licensing agreement was signed with MediGene AG (former Avidex Ltd) relating to Active Biotech's patented small molecule CD80 antagonists.
The licensing agreement gives MediGene the exclusive right to evaluate further the CD80 antagonists, and to develop and market products incorporating them or their derivatives. These compounds represent a novel approach to suppressing the inappropriate immune responses seen in autoimmune diseases. Evidence supporting this therapeutic approach has been reported from clinical trials using antibodies and recombinant fusion proteins that inhibit the same specific pathway.
If MediGene successfully develops the CD80 antagonists into products, Active Biotech will receive pre-agreed milestone payments worth up to GBP 6 million. In addition, low single digit royalties on future sales will be received.