Merck Serono and Affectis to develop drugs for neurodegenerative diseases
Affectis could earn up to €277m in milestone payments
Merck Serono, the biopharmaceutical division of Merck KGaA of Darmstadt, Germany, has signed an exclusive licensing agreement with Affectis Pharmaceuticals for the development and commercialisation of oral compounds targeting P2X7 receptors. These receptors are believed to be involved in neuroinflammation observed in some neurodegenerative diseases.
Under the terms of the agreement, Merck Serono will pay Affectis, which was founded in 2004 as a spin-out from the Max-Planck Institute of Psychiatry, an upfront payment and research funding of €2.4m. The Munich, Germany based firm could also receive up to €277m in milestone payments for the first three products to emerge from the collaboration, as well as undisclosed royalties.
Merck Serono will have worldwide exclusive rights to develop and commercialise selected compounds. The contract also includes a research collaboration focusing on P2X7 antagonist optimisation.
Dr Bernhard Kirschbaum, executive vice president for Global Research and Development at Merck Serono, said: “This partnership with Affectis reflects our long-term commitment to developing innovative treatments for neurodegenerative diseases, where unmet medical need still remains.”
“This agreement validates Affectis' strategy to focus on small molecules that potentially target the neuroinflammatory aspect of some neurodegenerative diseases,” added Dr Manfred Ruediger, chief executive of Affectis Pharmaceuticals.
Dr Michael Boes, chief scientist officer of Affectis, further commented: “Affectis' chemistry expertise puts special emphasis on brain penetration, which supports our development of oral P2X7 antagonists for the potential treatment of central nervous system diseases.”
P2X7 is an ATP-gated ion channel receptor, which is essential for the maturation and release of the pro-inflammatory cytokines. P2X7 is found on brain cells, which are activated by high levels of ATP in conditions of neuroinflammation.