Nycomed to pay up to $620M for veltuzumab

Privately-held Danish drugmaker Nycomed has entered into a license and collaboration agreement with USA-based Immunomedics for a worldwide license to develop, manufacture and commercialize veltuzumab, the latter's humanized anti-CD20 antibody drug candidate in the subcutaneous formulation for the treatment of all non-cancer indications.

Under the terms of the deal, Immunomedics will get a non-refundable initial cash payment of $40.0 million, subject to applicable Hart-Scott-Rodino Act approval, and could receive potential cash milestone payments of up to $580.0 million upon completion of certain clinical, regulatory, and sales-based milestones, as well as escalating double-digit royalties on sales of veltuzumab.

Primary indication to be RA