Pharma

GSK expands antibacterial rights; adds malaria, TB to Anacor R&D pact

GlaxoSmithKline (NYSE:GSK) is bolstering the potential of its drug pipeline through an amended deal with […]

GlaxoSmithKline (NYSE:GSK) is bolstering the potential of its drug pipeline through an amended deal with drug partner Anacor Pharmaceuticals (NASDAQ:ANAC) that extends GSK’s rights to an anti-infective and adds new drug programs for tuberculosis and malaria.

To make the changes, GSK will pay California-based Anacor $5 million up front. Anacor stands to gain up to an additional $11.3 million in milestones and research funding by the end of 2012. Any products resulting from the R&D work could yield Anacor additional milestones and royalties.

British pharma GSK, which has its U.S. headquarters in Research Triangle Park, North Carolina, started its partnership with Anacor in 2007 to develop anti-infectives against four targets. After a phase 1 trial, GSK last year exercised its option  to license and develop a compound now called GSK ‘052. That option triggered a $15 million option exercise payment to Anacor. The company is eligible for additional development and regulatory milestones up to $84 million as well as double-digit tiered royalties if a commercialized product results from that program.

Under the amended agreement announced today, GSK has extended rights to the bacterial enzyme target leucyl-tRNA synthetase (LeuRS). Rights to the other three targets revert to Anacor. In exchange for the expanded rights to the LeuRS target, GSK will pay Anacor a milestone from $5.5 million to $6.5 million, depending on the timing of the payment. GSK will also fund any future work on the LeuRS program.

The other changes add two programs to the collaboration agreement. The amended deal calls for GSK to fund Anacor’s TB research. Upon selection of a TB candidate, GSK will have the option to license TB compounds and would then take on responsibility for development and commercialization.

GSK now also has the option to acquire Anacor’s malaria program depending on the progress of that program’s lead candidate. Lead compound AN3661 is being developed in collaboration with the nonprofit Medicines for Malaria Venture. GSK has the option to license global rights to the malaria program when AN3661 reaches phase 2 proof of concept. Under that scenario, GSK would pay Anacor $5 million, of which $1.7 million would be paid to MMV. As with the other programs, Anacor would be eligible for additional milestones and royalties from sales of successfully commercialized products.

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