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By Yashasvini Razdan, 3:55 PM ET
GlaxoSmithKline (GSK) has entered into a collaboration deal worth $2.2 billion with U.S. biotech firm Alector, to develop therapies for neurodegenerative diseases such as frontotemporal dementia, amyotrophic lateral sclerosis, Parkinson’s disease, and Alzheimer’s disease.
The agreement states that GSK will pay Alector $700 million upfront. In addition to this, Alector will receive up to $1.5 billion in clinical development, regulatory and commercial launch-related milestone payments plus profit-sharing and royalties.
In a press statement, the two companies said that they will co-develop progranulin-elevating monoclonal antibodies, AL001 and AL101, co-commercialize the product and share profits in the U.S.
Commenting on the efficacy of the therapies, Dr Hal Barron, Chief Scientific Officer, and President R&D, GSK, said, “Working with Alector will allow us to investigate the potential of these immuno-neurology therapies to help patients with frontotemporal dementia, a devastating disease without any currently approved treatments, as well as explore the ability to help patients with other neurodegenerative diseases, such as ALS, Parkinson’s and Alzheimer’s.”
This isn’t the first time GSK collaborating with other firms, to work with monoclonal antibodies, for developing a treatment. Last month, GSK signed a $2 billion deal with US biotech iTeos Therapeutics, in a move to strengthen the pharmaceutical division’s cancer pipeline. The two companies are working on developing, and eventually, co-commercializing, EOS-448, which is an anti-TIGIT monoclonal antibody, currently in phase I development.
Brain diseases like Alzheimer’s are yet to get a potent cure and companies have struggled and abandoned their efforts to develop the same. Last month, the U.S. approved an Alzheimer’s drug from Biogen, despite questions over its effectiveness.
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