NEW YORK, Dec. 20 – German pharmaceutical company Schering said Thursday it had agreed to make a 10 percent equity investment in MorphoSys of Martinsreid, Germany, and to work together with the biotechnology firm to develop antibody therapeutics and diagnostics.
Under the terms of the three-year deal, the companies said they would work together exclusively to develop at least five therapeutic and several in-vivo diagnostics antibody projects.
Schering will have exclusive access to MorphoSys’ technologies for developing diagnostics and will supply targets that come out of its genomics program.
In addition to the equity stake, Schering will also provide annual licensing fees and funding for the duration of the collaboration.
"[The collaboration] will provide a complement to our established processes in the area of lead compound discovery and thereby enable us to rapidly enter antibody based therapies,” Bjorn Wallmark, head of corporate research at Schering, said in a statement. “The access to the proprietary technology of MorphoSys will provide us with an opportunity in promising new drug discovery."
MorphoSys develops technologies for the production of synthetic antibodies, which are designed to accelerate drug discovery and target characterization. The company has developed the Human Combinatorial Antibody Library, which is used for human antibody generation.