Bristol-Myers Ends Exelixis Pact

Exelixis has lost another partner for XL184, the most advanced drug candidate in its pipeline. After paying $195 million for the drug in December 2008, Bristol-Myers Squibb is returning the rights to XL184, a small molecule that blocks three protein kinases linked to cancer survival and progression. Exelixis says the companies could not agree on the clinical development of the drug, which is currently in a Phase III trial for thyroid cancer and a Phase II trial for glioblastoma. BMS bought into the program when GlaxoSmithKline declined to license the drug after a long-standing research pact with the biotech firm. Exelixis will receive $17 million as part of the termination agreement with BMS.