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Lexicon Genetics, Genentech Pen Drug Discovery Alliance

NEW YORK, Dec. 18 - Lexicon Genetics over the next three years will work with Genentech to discover new therapeutic proteins and antibody targets, the companies said today.


Genentech will identify genes of interest while Lexicon will characterize their physiology. Genentech retains some rights to develop and commercialize potential therapeutics; Lexicon will get a package worth up to $39 million, including upfront payments, performance-based payments and a convertible loan.

Additionally, Lexicon is entitled to pre-commercialization milestone payments and royalties on any products, while Genentech obtained an internal use sublicense from Lexicon covering its gene-targeting technology.

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