US-based biopharmaceutical company Agios extended a strategic collaboration agreement with biopharmaceutical corporation Celgene on Wednesday, with Celgene making an investment of $20m upfront.
The two firms signed the original agreement in April 2010, granting Celgene an exclusive option to potential drugs discovered by Agios’ cancer metabolism research.
As part of the agreement Celgene paid $130m to Agios upfront, an undisclosed amount of which was equity. Agios could also receive up to $120m in milestone payments, as well as royalties, for each product.
Thomas Daniel, president of research for Celgene, said: "In the first 18 months of our collaboration, we have made significant progress and have been extremely impressed by the caliber of the team, the science, and the unique research capabilities that Agios brings to this alliance."
Daniel continued: "As this early extension decision demonstrates, we are enthusiastic about the potential of Agios’ industry-leading approach targeting cancer metabolism to drive the development of multiple innovative, first-in-class cancer therapies."