Nektar, Lilly to co-develop autoimmune candidate

Nektar Therapeutics (NASDAQ:NKTR) and Eli Lilly and Co. (NYSE:LLY) partnered to co-develop Nektar's NKTR-358 to treat autoimmune diseases. The candidate is a modulator of interleukin-2 (IL-2) receptor that stimulates growth and activation of Treg cells.

The companies said Nektar will complete Phase I development of the candidate. Lilly will be responsible for 75% of Phase II development costs, and Nektar will contribute the balance. Nektar may opt to participate in Phase III development on an indication-by-indication basis...