Ablynx will receive $175 million upfront to fund clinical development and up to $665 million in potential payments and royalties pending the achievement of regulatory, commercial and sales targets.
ALX-0061 aims to treat inflammatory and autoimmune diseases, namely rheumatoid arthritis, which affects up to 1% of the adult population, and lupus, which affects 5 million people worldwide.
"We truly believe that AbbVie's significant expertise in rheumatology aligns us with the ideal partner to further progress the development of ALX-0061 and to ensure we maximize the potential of this asset," said Ablynx Chairman and CEO Edwin Moses in a joint press release."We are looking forward to working with Ablynx to develop a potentially new and effective therapy for patients suffering from serious chronic conditions," added Scott Brun, Vice President, Pharmaceutical Development at AbbVie. Last week, AbbVie announced a quarterly cash dividend of 40 cents per share. During its second quarter ended June 30, 2013, the company reported revenue of $4.69 billion, up 4.4% on the year-ago quarter, and earnings per share of 82 cents, 3 cents above its guidance range. During Friday trading, AbbVie shares were 0.93% higher, closing at $47.84. Overall, AbbVie shares outpaced the S&P 500, which was down 0.72%. Written by Keris Alison Lahiff.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV