Pfizer licenses inflammation portfolio from Incyte

Pfizer has gained exclusive worldwide development and commercialization rights to Incyte’s portfolio of CCR2 antagonist compounds, the most advanced of which is currently in phase IIa studies in rheumatoid arthritis and insulin-resistant obese patients.

Pfizer’s rights extend to the full scope of potential indications, with the exception of multiple sclerosis and one other undisclosed indication, where Incyte retains exclusive worldwide rights, along with certain compounds.

Incyte will receive an upfront payment of $40 million and will be eligible to receive additional milestone payments of up to $743 million for the successful development and commercialization of CCR2 antagonists in multiple indications, as well as royalties on worldwide sales.

Pfizer will also purchase $20 million in convertible subordinated notes, with $10 million to be issued within 20 days after the effective date of the agreement and another $10 million to be issued after Incyte files an investigational new drug application in a retained Incyte indication.

Pfizer will also provide research funding to Incyte to support the continued expansion of the CCR2 compound portfolio.

“This transaction is a further step in our strategy to augment Pfizer’s internal R&D efforts with high-potential, externally sourced product candidates and technologies,” said Martin Mackay, Pfizer’s senior vice president of worldwide research and technology. “We are excited about Incyte’s CCR2 antagonist program and its potential use in treating a range of chronic diseases with significant unmet medical need.”