Morphosys joins Novartis antibody program

German synthetic antibody specialist MorphoSys has exercised its option to participate in the development of a therapeutic antibody program in its collaboration with Swiss drug major Novartis.

In a first, pre-development step, Novartis will fund the companies' joint efforts until the program reaches formal preclinical development. MorphoSys will recognize its share of the funding as additional revenues.

The December 2007 deal's financial terms include committed payments in excess of $600.0 million over the 10-year lifetime of the agreement. Under the co-development options, MorphoSys may elect to participate in a selection of projects through cost and profit sharing with financial participation reflecting its level of investment in the respective programs.