Hybridon, G. D. Searle & Co. deal

The companies signed a letter of intent to develop genetic antisense compounds directed at up to seven molecular targets associated with immunomodulation, including rheumatoid arthritis and transplant rejection.

If the agreement is consummated for the initial target, Searle will purchase $10 million of common stock in Hybridon’s proposed public offering (see BioCentury Nov. 13). Searle would pay $10 million in combined research and equity payments for each additional target, totalling up to $36 million in equity investments and $24 million in research funding if all six targets are exercised. An additional $10 million in milestones per target would be possible. ...