GlaxoSmithKline surprises with mega-dollar deal for cancer program

2 June 2014

UK biotech firm Adaptimmune revealed this morning that it has entered into a collaboration and licensing agreement with UK pharma giant GlaxoSmithKline (LSE: GSK) for the development and commercialization of its lead clinical cancer program, which is in trials for multiple cancers in the USA with European trials set to commence shortly.

The deal could yield payments in excess of $350 million to Adaptimmune over the next seven years, with significant additional development and commercialization payments due in subsequent years, as well as tiered royalties on net sales.

The news comes as something of a surprise, since less than two months ago GSK entered into an asset swap deal with Swiss drug major Novartis (NOVN: VX) agreeing to acquire GSK oncology products for a $14.5 billion payment and up to $1.5 billion contingent on a development milestone.

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