Bayer transfers three oncology drugs to Genzyme for an initial $650 million

German pharmaceutical major Bayer has entered into an agreement to transfer part of its oncology portfolio to Genzyme, a USA-based leading  biotechnology company, although retaining some multiple sclerosis  rights, leaving it free to concentrate its cancer efforts on its  multikinase inhibitor Nexavar (sorafenib) for the treatment of  unresectable hepatocellular carcinoma, which generated 2008 revenues of  462.0 million euros ($607.8 million) and is being investigated in other  indications such as non-small cell lung cancer, as well as additional  development products.

In exchange for this, Bayer will receive will receive milestone  payments and royalties, depending on sales achieved by Genzyme, to a  maximum of $650.0 million.

Under the accord, Bayer transfers its hematological oncology portfolio  to Genzyme - including the worldwide development and distribution rights  for alemtuzumab - currently marketed as MabCampath or Campath for the  treatment of B-cell chronic lymphocytic leukemia, and gives the US firm  exclusive global licenses for Leukine (sargramostim) and Fludara  (fludarabine phosphate) for all present and future indications.