GlaxoSmithKline signs RNA collaboration worth up to $1.5 billion to Isis Pharmaceuticals, as UK giant gets EU approval for Duodart

UK drugs giant GlaxoSmithKline has entered into a new strategic alliance with the USA's Isis Pharmaceuticals for the latter's antisense drug discovery platform to seek out and develop new therapeutics against targets for rare and serious disease, including infectious diseases and some conditions causing blindness.

Under the terms of the agreement, which covers up to six programs, Isis will receive an upfront $35 million from GSK and is eligible for, on average, up to $20 million in milestones per program up to Phase II proof-of-concept studies. GSK will have the option to license compounds at the PoC stage, and will be responsible for all further development and commercialization. Isis will be eligible to receive license fees and milestone payments, totaling nearly $1.5 billion, in the event all six programs are successfully developed for one or more indications and commercialized through to pre-agreed sales targets. In addition, Isis will receive up to double-digit royalties on sales from any product that is successfully commercialized.

Isis jumps 10.5% on the news