Prosetta and Takeda link up for neurodegenerative diseases research

US privately-held biotech firm Prosetta Biosciences has entered into a feasibility and first right of negotiation agreement with Japan’s largest drugmaker, Takeda Pharmaceutical (TYO: 4502), to conduct a feasibility study for the future development of novel compounds for diseases and disorders impacting the central nervous system (CNS).

Under the agreement, the companies would jointly perform an initial, agreed upon research plan related to the target of interest. At the conclusion of the research plan, and subject to Takeda exercising its exclusive negotiation rights under the deal, the companies would negotiate a separate comprehensive collaboration and license option agreement to which Takeda and Prosetta would engage in further research and development related to the target of interest.

Prosetta will receive an undisclosed upfront payment from Takeda, and pre-commercialization and commercialization milestones, in addition to royalty payments on marketed products, under the separate comprehensive collaboration and license option agreement, if any.