Abgenix: Opening the spigot

Abgenix Inc. has been working under a self-imposed limit of six deals per year for its XenoMouse human antibody technology due to resource constraints. But the company says that the combination of large new collaborations and the acquisition of full rights to the mouse technology from Japan Tobacco Inc. have changed its plans.

For ABGX, the acquisition means it no longer owes JT a 1 percent royalty on product sales, and it "removes an annual ceiling on the number of deals we could do," said CFO Kurt Leutzinger, referring to contractual limits under which agreement with the Japanese company that funded the development of XenoMouse. "There is no limit now."...