WALTHAM, Mass. (AP) — Cancer treatment developer Immunogen Inc. will receive $20 million from Eli Lilly and Co. and could earn about $200 million in milestone payments under a collaboration agreement with the Indianapolis drugmaker.
Immunogen, based in Waltham, Mass., said Lilly will receive some exclusive licenses to use its Targeted Antibody Payload, or TAP, technology to develop cancer treatments.
TAP technology includes a tumor-targeting manufactured antibody with a cancer-killing agent attached. The antibody delivers the agent specifically to tumor cells, where it is released to kill the cells.
Lilly is responsible for developing and selling any products from the agreement, and Immunogen could receive royalties on future sales.
Immunogen also has received milestone payments from Amgen Inc. and French drugmaker Sanofi under development agreements.
Lilly, which makes the antipsychotic Zyprexa and the antidepressant Cymbalta, also includes the cancer drugs Alimta and Gemzar in its product portfolio. Sales for Gemzar have tumbled in recent quarters after the drug lost patent protection. The company also has several potential cancer treatments under development in its product pipeline.
Shares of Immunogen jumped 4 percent, or 45 cents, to $11.81 in morning trading amid a broad market rally. Lilly shares rose 9 cents to $40.83.