Exelixis and Bristol-Myers sign cancer discovery agreement

As part of the collaboration, Exelixis will be fully responsible for the identification and preclinical development of small molecule drug candidates directed against mutually selected targets. Bristol-Myers Squibb will have the right to select up to three investigational new drug candidates against three different targets.

Following selection by Bristol-Myers Squibb, the company will lead all global activities, although the parties will co-develop and co-commercialize the programs in the US.

Under the terms of the agreement Bristol-Myers Squibb will pay to Exelixis an upfront payment of $60 million in cash. Exelixis will also receive $20 million for each of up to three different drug candidates selected by Bristol-Myers Squibb.

“This collaboration will capitalize on the power of Exelixis’ drug discovery engine and on the breadth and depth of BMS’ expertise in oncology,” said George Scangos, president and CEO of Exelixis.