Genentech Inks Pacts with Tercica and Abbott

Genentech, Inc. (South San Francisco, CA, www.gene.com), has announced an agreement with Tercica, Inc. (South San Francisco, CA, www.tercica.com), for the development, manufacture, and commercialization of two products containing Genentech’s recombinant human growth hormone Nutropin AQ (somatropin, rDNA origin) and Tercica’s recombinant insulin-like growth factor-1 Increlex (mecasermin, rDNA origin) for the treatment of short stature, adult growth hormone deficiency (AGHD), and potentially other metabolic disorders. 

Under the terms of the collaboration, Tercica may be eligible to receive a total of up to $53 million in equity payments, opt-in payments, research and development cost reimbursement, and milestone payments. Tercica will fund and lead initial development efforts for both combination products. Genentech has certain rights to opt-in to the development programs for both products. The opt-in rights remain open until completion of a Phase 2 clinical study for each product that is sufficient to enable a pivotal trial.

In another deal, Genentech has formed a collaboration with Abbott (Abbott Park, IL, www.abott.com) for the global research, development, and commercialization of ABT-263 and ABT-869, Abbott’s investigational anticancer compounds. The companies will copromote any resulting products in the US. Abbott will promote any resulting products outside the United States. Financial terms of the collaboration were not disclosed.