Actelion and Roche form autoimmune disease collaboration

The compound is currently being developed in phase I. The two companies plan to jointly develop and commercialize this novel compound for multiple autoimmune disorders.

“Together, we are well prepared to turn Actelion’s scientific breakthrough in selective S1P1 receptor agonists into a treatment that has the potential to dramatically improve medical care for patients with autoimmune disorders,” said DrJean-Paul Clozel and CEO of Actelion.

The S1P1 collaboration covers both the current selective S1P1 receptor agonist in phase I as well as any other selective S1P1 receptor agonists resulting from Actelion’s research efforts in the field.

Roche will pay Actelion an upfront payment of $75 million in the second half of 2006. In the case of future development and approval milestones being achieved, Actelion will be eligible to receive payments of up to $555 million for the first compound for all targeted indications.

Further development and approval milestone payments are due for further compounds. Roche will pay Actelion undisclosed royalties on product sales.

For the current selective S1P1 receptor agonist, Actelion will fully fund all development activities up to the end of phase II for the first two indications. All subsequent development and commercialization costs will be shared equally between Roche and Actelion. Both companies will co-promote any product resulting from this collaboration and equally share profit.