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Glenmark Pharma receives final payment of $25 million towards the GBR 500 deal

11 Jul 2011 Evaluate

Glenmark Pharmaceuticals has received the second and final upfront payment of $25 million towards the GBR 500 deal signed by Glenmark with Sanofi in Early May 2011. Thus, with this payment, Glenmark has now received the entire upfront payment of $50 million from Sanofi.

Glenmark Pharmaceuticals S.A (GPSA), a wholly owned subsidiary of Glenmark Pharmaceuticals India (GPL), had entered into an agreement with Sanofi to grant Sanofi a license for the development and commercialization of GBR 500, a novel monoclonal antibody for the treatment of Crohn’s Disease and other inflammatory conditions.

Under the terms of the agreement, Glenmark was suppose receive an upfront payment of $50 million, of which $25 million was paid upon closing of the transaction and $25 million, which was contingent upon Sanofi’s positive assessment of certain data to be provided by Glenmark. In addition, Glenmark could receive potential success?based development, regulatory and commercial milestone payments. The total of these payments could reach $613 million.

GBR 500 is an antagonist of the VLA?2 (alpha2?beta1) integrin. It is a first?in?class therapeutic monoclonal antibody and has established proof of concept in animal models across a range of anti?inflammatory conditions. Glenmark has completed Phase I dosing of GBR 500 in the US and the drug has been well tolerated with a good pharmacokinetic profile. Plans are in place to initiate clinical proof of concept studies in Crohn’s Disease. Sanofi has licensed the rights to all therapeutic indications.  

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