It is expected that AP23573 will enter into Phase III clinical development for the treatment of metastatic sarcomas beginning this quarter.
The agreement provides for an initial payment of $75 million to Ariad and up to $452 million more in milestone payments based on the successful development of AP23573 in multiple cancer indications (including $13.5 million for the initiation of the Phase III clinical trial in metastatic sarcomas and $114.5 million for the initiation of other Phase II and Phase III clinical trials).
The companies anticipate conducting a broad-based global development program in which clinical trials and biomarker studies will be conducted concurrently in multiple cancer indications. Each party will fund 50% of the cost of global development of AP23573, except that Merck will fund 100% of the cost of ex-US development that is specific to the development or commercialization of AP23573 outside the US.
Stephen Friend, executive vice president and oncology franchise head of Merck said: “mTOR is a validated target for therapeutic intervention in human cancer and resides at a crucial intersection point controlling cell growth and survival of many tumor types. We are delighted to partner with ARIAD to develop and commercialize AP23573 for major unmet medical needs in oncology.”