Ablynx, AbbVie in inflammatory deal

Ablynx N.V. (Euronext:ABLX) climbed EUR 0.85 (11%) to EUR 8.27 on Monday after it and AbbVie Inc. (NYSE:ABBV) partnered to develop ALX-0061 to treat inflammatory diseases. Ablynx will be responsible for completing Phase II development of ALX-0061 in rheumatoid arthritis (RA) and systemic lupus erythematosus (SLE). Upon the achievement of undisclosed criteria, AbbVie can exercise its option to in-license ALX-0061 in either indication and will have responsibility for Phase III development and commercialization. Ablynx has an option to co-promotion rights in Belgium, the Netherlands and Luxembourg.

Ablynx will receive $175 million up front and is eligible for up to $665 million in milestone payments, plus double-digit tiered royalties. On a conference call to discuss the deal, Ablynx said it plans to start a Phase I trial of a subcutaneous formulation of ALX-0061 in 2014, followed by Phase II trials of the formulation in RA and SLE in 2015. Data from the RA trial is expected in 2016, and data from the SLE trial is expected in 2018. An IV formulation of ALX-0061, a nanobody against IL-6 receptor ( CD126), has completed a Phase I/II trial to treat moderate to severe active RA (see BioCentury Extra, Feb. 13). ...