Astellas acquires rights to Medivation's MDV3100 for prostate cancer in up to $765 million deal

In yet another mega-dollar drug licensing deal, Japanese major Astellas Pharma has entered into a global agreement to develop and commercialize MDV3100, USA-based Medivation's investigational drug for the treatment of prostate cancer. MDV3100 is currently being evaluated in the Phase III AFFIRM clinical trial in men with castration-resistant prostate cancer who were previously treated with docetaxel-based chemotherapy.

Under the terms of the agreement, Medivation will receive an up-front cash payment of $110 million. It is also eligible to receive up to $335 million upon the attainment of development and regulatory milestones plus up to an additional $320 million in commercial milestone payments.

The companies will collaborate on a comprehensive development program that will include additional studies to develop MDV3100 for both late- and early-stage prostate cancer. Subject to receipt of regulatory approval, the companies will jointly commercialize MDV3100 in the USA. They will share equally all US development and commercialization costs, and profits. Astellas will have responsibility for developing and commercializing MDV3100 outside the USA and will pay Medivation tiered double-digit royalties on ex-US sales.