Biogen Idec licenses Knopp's late-stage ALS drug candidate for up to $345 million

US biotech firm Biogen Idec has entered into an exclusive, worldwide license agreement with Knopp Neurosciences under which it will develop and commercialize KNS-760704 (dexpramipexole) for the treatment of amyotrophic lateral sclerosis (ALS), also known as Lou Gehrig's disease, and potentially other indications.

As part of the transaction, Biogen Idec will buy $60 million of Knopp stock, provide an up-front payment of $20 million and additional payments of up to $265 million based on the achievement of development, regulatory, and sales milestones. Biogen Idec will also pay tiered, double-digit royalties to Knopp on worldwide sales.

Biogen Idec (Nasdaq BIIB) will lead the development of KNS-760704 for ALS and its potential commercialization in global markets, with Knopp providing development support and conducting certain US commercialization activities under the direction of Biogen Idec.