The agreement signed in December 2009 for a period of two years, has been extended by Bristol-Myers Squibb for an additional six months term to June 2012.
As per the collaboration, Tranzyme will use its drug discovery technology, Macrocyclic Template Chemistry (MATCH), to identify novel macrocyclic drug candidates.
Bristol-Myers Squibb will optimize the identified lead compounds, and complete preclinical and clinical development of all products arising from the collaboration.
In addition, Tranzyme will receive research funding from Bristol-Myers Squibb during the duration of the extended term besides being entitled to receive the same development and regulatory milestones and tiered royalties for each product resulting from the collaboration.
According to the companies, the total milestone payments under the agreement, excluding royalties, could reach up to $80m for each target program.