>>FOSTER CITY, Calif., Nov. 26 /PRNewswire/ -- Cell Genesys, Inc. (Nasdaq: CEGE - news) today announced that the company and its collaborator, the pharmaceutical division of Japan Tobacco (JT), have agreed to modify their ongoing collaboration for GVAX® cancer vaccines. The two companies, which previously had a 50/50 worldwide profit sharing arrangement for GVAX® prostate and lung cancer vaccines, will now have a royalty arrangement on sales of GVAX® lung cancer vaccine as well as a royalty arrangement on sales in other cancer indications that may be derived from a certain form of that vaccine, and Cell Genesys will now have full commercial rights for GVAX® prostate cancer vaccine. Under the new agreement, JT will pay Cell Genesys an undisclosed royalty on GVAX® lung cancer vaccine sales in Japan, Taiwan and Korea, and Cell Genesys will pay JT the same royalty on such sales in North America and the rest of the world. The companies will continue to equally share in the development costs of GVAX® lung cancer vaccine products, and JT will continue to pay Cell Genesys milestone payments. Cell Genesys expects no impact on near term revenues relating to this deal modification.
``We are glad to have had the opportunity to modify our GVAX® collaboration agreement with JT in a manner that increases our share of potential sales of GVAX® lung cancer vaccine products,'' stated Stephen A. Sherwin, M.D., chairman and chief executive officer of Cell Genesys. ``Cell Genesys is currently evaluating GVAX® vaccines in multiple types of cancer, and we are encouraged by the results of Phase I/II and Phase II clinical trials already reported for lung cancer as well as prostate and pancreatic cancer.''<<
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Cheers, Tuck |
