Pfizer Inc (NYSE: PFE) and Beam Therapeutics Inc (NASDAQ: BEAM) have announced an exclusive four-year research collaboration focused on in vivo base editing programs.
- The collaboration may be extended up to one additional year.
- The programs focus on three targets for rare genetic diseases of the liver, muscle, and central nervous system.
- Under the terms of the collaboration agreement, Beam will conduct all research activities through development candidate selection for three undisclosed targets, which are not included in Beam’s existing programs.
- Pfizer may opt-in to exclusive, worldwide licenses to each development candidate.
- Beam has a right to opt-in, at the end of Phase 1/2 studies, upon the payment of an option exercise fee, for one program licensed under the collaboration under which Pfizer and Beam would share net profits and costs in a 65%/35% ratio (Pfizer/Beam).
- Beam will receive an upfront payment of $300 million.
- Assuming Pfizer exercises its opt-in license rights for all three targets, it is eligible for milestone payments for potential total deal consideration of up to $1.35 billion.
- Price Action: PFE stock is up 0.23% at $55.85, and BEAM shares are up 7.6% at $75.69 during the premarket session on Monday’s last check.
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