EXEL - Exelixis brokers two collaboration deals on peptide-drug conjugate and monoclonal antibody

Exelixis ( NASDAQ: EXEL ) has brokered collaboration deals with two companies giving the biotech the right to acquire a potential first-in-class peptide-drug conjugate and work on the development of an antibody targeting SIRP?.

In its deal with Cybrexa Therapeutics , Exelixis ( EXEL ) has the right to acquire CBX-12 (alphalex exatecan), a peptide-drug conjugate that utilizes Cybrexa's alphalex technology to enhance delivery of exatecan to tumor cells.

Terms call for Cybrexa to receive an upfront fee of $60M. It is eligible for an additional $642.5M in development and commercial milestone payments.

Data from an ongoing phase 1 trial of the candidate showed preliminary anti-tumor activity in a heavily pretreated population.

The second deal, with Sairopa , is an exclusive clinical development and option agreement for ADU-1805, a monoclonal antibody that targets SIRP?.

SIRP?, a protein, expressed on myeloid cells interacts with CD47 present on the surface of cancer cells and blocks the ability of macrophages to clear tumor cells. Blocking SIRP? has the potential to improve the immune system's ability to attack tumors.

Terms call for Sairopa to receive a $40M upfront payment plus $70 million in near-term milestones. After certain studies are completed, Exelixis ( EXEL ) can exercise an option for an option exercise fee of $225 million. Sairopa is also eligible for sales milestones and royalties.

Read what JMP Securities recently had to say about Exelixis ( EXEL ).

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