Johnson & Johnson to Develop Tesaro’s Drug for Prostate Cancer
Thursday, April 07, 2016
Johnson & Johnson on Wednesday said it will invest $50 million in Tesaro Inc. and license a potential prostate cancer treatment from the pharmaceutical company.
Johnson’s Janssen Biotech Inc. will develop and commercialize Tesaro’s Niraparib for treatment of prostate cancer. Niraparib is an oral, once-daily treatment that is currently in late-stage clinical trails for use in ovarian and breast cancer.
As part of the Niraparib pact, Johnson will pay Tesaro an upfront fee of $35 million and could pay up to $415 million in milestone payments if certain development, regulatory and commercial milestones are reached, the companies said in a news release.
Janssen also will fund all development and commercialization activities for the use of Niraparib in prostate cancer.
Johnson said it also was making a $50 million equity investment in Tesaro at a price of $44.24 a share.
Shares for both companies were inactive in premarket trading.
Source : wsj.com
