Autifony Therapeutics, which spun off from GlaxoSmithKline (NYSE:GSK) in 2011, has entered into a lucrative global licensing agreement with Jazz Pharmaceuticals (NASDAQ:JAZZ). The deal, potentially worth up to $770.5 million, focuses on the development of two ion channel targets that are critical for treating neurological disorders.
Under the terms of the partnership, Jazz Pharmaceuticals will make an upfront payment of an undisclosed amount to Autifony. The agreement also includes milestone payments and royalties from future sales. While Autifony will spearhead the drug discovery and preclinical development stages, Jazz will take over the clinical development, manufacturing, regulatory processes, and commercialization once preclinical work is completed.
Autifony's Chief Executive Officer, Charles Large, praised Jazz's strong track record in neuroscience and its expertise in bringing innovative treatments to market. He highlighted the potential of this collaboration to create transformative benefits for patients suffering from neurological conditions. Ion channels are essential for various physiological functions, and gene mutations within these channels make them prime targets for precision medicine interventions.
This deal marks another significant milestone for Autifony since its inception as a GSK spinoff. The company has been involved in several substantial agreements over the years. In June 2018, Autifony received a boost when Pfizer (NYSE:PFE) Ventures included it in its $600 million capital venture fund investment. Additionally, in December 2017, Autifony entered into a €627.5 million ($679 million) licensing agreement with Boehringer Ingelheim for a schizophrenia drug known as Kv3.1/3.2.
Jazz Pharmaceuticals has had a relatively quiet year in terms of new ventures. Their most notable activity was a $50 million upfront payment made in October 2022 to Zymeworks (NASDAQ:ZYME) for licensing a bispecific antibody that targets HER2.
The partnership between Autifony and Jazz underscores the ongoing efforts in the pharmaceutical industry to develop precision medicines that can address complex neurological disorders through targeted therapies.
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