NEW YORK, Dec. 17 (GenomeWeb News) - Lexicon Genetics and Bristol-Myers Squibb announced today a drug discovery and development collaboration in neuroscience.
Under the deal, Lexicon will provide 13 drug discovery programs and its Genome5000 program for drug development. The Genome5000 program involves analysis of 5,000 genes using gene knockout technologies and physiological and behavioral analyses. The companies will jointly launch a medicinal chemistry and preclinical development effort for discovery of small molecule drugs and targets. Bristol-Myers Squibb will have the option to take over responsibility for clinical development and commercialization of drugs developed through this alliance.
Bristol-Myers Squibb will pay Lexicon, of the Woodlands, Texas, $36 million upfront, followed by a minimum of $30 million over the first three-year term of the agreement. The agreement provides for an additional two-year extension, with Bristol-Myers Squibb paying Lexicon an additional amount up to $50 milllion. Lexicon will also receive clinical and regulatory milestone payments for exceeding stipulated research productivity levels, and clinical and regulatory milestone payments for drugs that Bristol-Myers Squibb develops under the alliance, as well as royalties on each drug developed in this manner.
The companies will share costs for medicinal chemistry and preclinical development efforts, while the party that develops and commercializes drugs from the deal will pay for the costs of these efforts.