Novartis and HGS to collaborate on Albuferon R&D

Swiss major Novartis and the USA's Human Genome Sciences say they have entered into a partnership to develop and commercialize the former's hepatitis C therapeutic Albuferon. The agent, which is a novel fusion protein combining interferon alfa and human serum albumin, is due to enter Phase III trials before the end of the year. Under the terms of the deal, HGS will receive an upfront fee of $45.0 million, and up to $47.5 million in developmental milestone payments, in return for providing Novartis with an exclusive worldwide license. HGS's share price rose $0.37, or 3.6%, to $10.56 in trading on the day of the announcement, June 6.