PTC Therapeutics (PTC) has entered into an exclusive research collaboration and licensing agreement with Roche, for the development of orally bioavailable small molecules utilizing PTC’s technology – Gene Expression Modulation by Small-molecules (GEMS).
Reportedly, the collaboration focuses initially on four CNS disease targets to be jointly selected.
Under the terms of the agreement, Roche will make an upfront cash payment of $12m and fund PTC’s research efforts. Subject to achievement of several milestones, there is the potential for PTC to earn up to $239m in research, development, regulatory and commercial milestone payments per target.
The company said that PTC will also receive up to double digit royalties for all products resulting from the collaboration.
Moreover, Roche has the option to add four targets to the collaboration across therapeutic areas, for additional cash payments.
Christer Nordstedt, head, CNS Discovery of Roche, said: We are pleased to enter into this collaboration with PTC Therapeutics. We believe that this novel technology will enable Roche to address important disease mechanisms that were intractable with conventional approaches. This may have profound impact on the treatment and management of several CNS disorders and therefore lead to great benefits for the patient.