gee maybe LGND wasn't so dumb afterall.
Ligand Subsidiary Sublicenses Strom Patents to Roche; Seragen and Beth Israel to Receive Royalties On Sales of Zenapax
SAN DIEGO--(BW HealthWire)--Sept. 13, 1999--Ligand Pharmaceuticals Incorporated (Nasdaq:LGND) announced today that its wholly-owned subsidiary, Seragen, Inc., has entered into a non-exclusive sublicense agreement with Basel, Switzerland-based F. Hoffmann-La Roche Ltd. and its U.S. pharmaceutical subsidiary Hoffmann-La Roche Inc., with respect to Seragen's rights under a family of patents called the "Strom Patents."
The sublicense under the Strom Patents grants Roche the right to make, use and sell in the U.S., Canada, Australia and New Zealand any product containing the active ingredient daclizumab. Roche currently sells such a product under the trademark Zenapax(R) for the treatment of acute organ rejection in patients receiving kidney transplants.
In consideration for the sublicense, Roche will pay Seragen a $2.5 million royalty for sales of Zenapax(R) occurring before the date of this agreement plus, commencing in January 2001, royalties on net sales of licensed products in the U.S., Canada, Australia and New Zealand. Seragen will also receive milestone payments in the event Roche receives U.S. regulatory approval of licensed products containing daclizumab for use in the treatment of autoimmune indications.
The Strom Patents, licensed by Seragen from Beth Israel Deaconess Medical Center, a major Harvard Medical School teaching hospital, cover the use of antibodies that target the interleukin-2 (IL-2) receptor to treat transplant rejection and autoimmune diseases. Previously a non-exclusive license was issued to Novartis covering the product Simulect(R) to treat organ transplant rejection, for which Ligand expects to receive royalty payments beginning in January 2001. According to the terms of the Beth Israel agreement with Seragen, Beth Israel will also share in the royalty and milestone payments.
"We are pleased to complete this second sublicense agreement under the Strom Patents to which we acquired exclusive rights together with Ontak(R) in the Seragen acquisition," said David E. Robinson, Ligand Chairman, President and CEO. "This will allow us to realize significant additional value for our shareholders from the assets of Seragen, now a wholly owned subsidiary of Ligand Pharmaceuticals Incorporated."
Hoffmann-La Roche Inc. is a leading research-intensive pharmaceutical company that discovers, develops, manufactures and markets numerous important prescription drugs that improve, prolong and save the lives of patients with serious illnesses. Hoffmann-La Roche is a global leader in health care with principal businesses in pharmaceuticals, diagnostics, vitamins, fragrances, and flavors.
Ligand Pharmaceuticals Incorporated
Ligand Pharmaceuticals Incorporated discovers, develops and markets new drugs that address critical unmet medical needs of patients in the areas of cancer, skin diseases, and men's and women's hormone-related diseases, as well as osteoporosis, metabolic disorders and cardiovascular and inflammatory diseases. Ligand's first two drugs
-- Panretin(R) gel and ONTAK(R) -- were approved for marketing in the U.S. in early 1999 and are being marketed through its specialty cancer and HIV-center sales force in the U.S. Four additional oncology-related products are in late-stage development, including Targretin(R) capsules, Targretin(R) gel, Panretin(R) capsules, and Morphelan(tm) (licensed from Elan). Ligand's proprietary drug discovery and development programs are based on its leadership position in gene transcription technology, primarily related to Intracellular Receptors (IR) and Signal Transducers and Activators of Transcription (STATs).
This news release may contain certain forward looking statements by Ligand and actual results could differ materially from those described as a result of factors including, but not limited to the following. There can be no assurance that (a) there will continue to be a market in the U.S. or elsewhere for Zenapax(R) or any product subject to the sublicense agreement, (b) Roche will pursue any other indications for Zenapax(R) or any product subject to the sublicense agreement, (c) Seragen will receive any royalties or milestone payments from Roche; (d) any product under development by Ligand or Roche will receive approval from the U.S. Food and Drug Administration or other authorities to market the product; (e) if successfully developed and thereafter approved, there will be a market for the drug. Additional information concerning these factors can be found in press releases as well as in Ligand's public periodic filings with the Securities and Exchange Commission. Ligand disclaims any intent or obligation to update these forward-looking statements beyond the date of this release.
Note: Public information on Ligand Pharmaceuticals Incorporated, including our financial statements and other filings with the Securities and Exchange Commission, our recent press releases and the package inserts for products approved for sales and distribution in the United States, is available on our web site at ligand.com.
Panretin(R) and Targretin(R) are registered trademarks of Ligand Pharmaceuticals Incorporated, and ONTAK(R) is a registered trademark of Seragen, Inc., a wholly owned subsidiary of Ligand.
Ligand Pharmaceuticals' releases are availabler on the World Wide Web at www.businesswire.com/cnn/lgnd.htm.
CONTACT:
Ligand Pharmaceuticals Incorporated
Christiane V. Sheid, 858/550-7809 |
