Pharma Firms Form Antibody Alliances

Bristol-Myers Squibb and Alder Biopharmaceuticals will jointly develop and commercialize the monoclonal antibody ALD518, which has completed early Phase II clinical trials as a rheumatoid arthritis treatment. BMS will pay $85 million upfront and up to $964 million in potential milestone payments in return for the right to develop ALD518 for all indications except cancer. Alder can also require that BMS invest up to $20 million in a future initial stock offering. Separately, Sanofi-Aventis and Regeneron Pharmaceuticals have extended their monoclonal antibody alliance by five years, through 2017. Starting next year, Sanofi will increase its annual funding commitment by 60% to $160 million. The partners hope to advance four to five therapeutic antibodies into development each year.