Galapagos NV and Janssen Pharmaceutica enter RA drug R&D accord

Belgian drugmaker Galapagos NV and Janssen Pharmaceutica, a Johnson & Johnson company, have established an accord to develop novel small-molecule drugs for the treatment of rheumatoid arthritis. Under the terms of the alliance, Janssen may select up to 12 of Galapagos' previously-identified disease targets and drug candidates that have demonstrated proof-of-concept, and has exclusive future option rights to exclusively license these programs. In return, Galapagos will receive 15.0 million euros ($21.4 million) upfront, and is entitled to an additional 2.0 million-euro milestone for the selection of GT146, one of the most advanced candidates in its RA development program. In total, the deal could be worth around 1.0 billion euros, if all the options are exercized.