SB Forms Vaccine Alliances With MedImmune & VRI

SmithKline Beecham has entered into separate collaborative agreementswith two US firms to develop and market vaccines. The first, with MedImmune, is a strategic alliance to develop and commercialize human papillomavirus vaccines for the prevention of cervical cancer and genital warts. The other agreement, with Virus Research Institute, is a collaboration dedicated to developing and marketing VRI's oral rotavirus vaccine.

In exchange for exclusive worldwide rights to MedImmune's HPV vaccine technology, SB will pay over $85 million in the form of an upfront payment and milestones, as well as royalties on any product sales. MedImmune's first HPV vaccine, HPV-11, is currently in a Phase I clinical trial, and the company expects to begin clinical evaluation of HPV-18 and HPV-16 in 1998.

No financial details have been given regarding the agreement with VRI, which is to continue the Phase II clinical efficacy study of its rotavirus vaccine. The study is expected to be completed in mid-1998, when SB will assume responsibility for all subsequent clinical and commercialization activities.