Roche and InterMune Announces Collaboration Agreement

Roche and InterMune Inc. have announced that the companies have entered into an exclusive worldwide collaboration agreement to develop and commercialize products from InterMune’s HCV protease inhibitor program.

The agreement includes its lead candidate compound ITMN-191, expected to enter clinical trials before the end of the year.

The companies will also collaborate on a research program to identify, develop and commercialize novel second-generation HCV protease inhibitors.  
 
"This agreement with InterMune is part of our ongoing commitment to advancing therapies for hepatitis C patients," said Peter Hug, Global Head of Pharma Partnering for Roche.

"We believe that protease inhibitors may become an important new component of HCV treatments and we look forward to working with InterMune in the development of ITMN-191 and other potential compounds that may emerge from our collaboration."
 
Dan Welch, President and Chief Executive Officer of InterMune commented, "We are very pleased to be partnering with Roche."

"We believe this partnership will help accelerate the development of ITMN-191 and future second-generation protease inhibitors, while allowing InterMune to share in the substantial value creation opportunity of this important program."

Terms of the Agreement: Roche will exclusively license ITMN-191 and will have the right to exclusively license further HCV protease inhibitor development candidates resulting from the research collaboration. 

For ITMN-191, InterMune will conduct Phase I studies, and thereafter Roche will lead clinical development and commercialization. Upon closing, InterMune will receive from Roche an upfront payment of $60 million.

In addition, assuming the development and commercialization of ITMN-191 in the U.S. and other countries, InterMune will receive up to $470 million in milestones, including potentially $35 million within the next 12 months.

For ITMN-191, Roche will fund 67% of the global development costs and the companies will co-commercialize the product in the U.S. and share profits on a 50-50 basis.

InterMune will receive royalties outside the U.S. InterMune may opt-out of either co-development or co-commercialization for ITMN-191 in which case InterMune would receive higher royalties on ex-US sales, and royalties instead of profit sharing in the U.S.

The economic terms for ITMN-191 could also apply to additional compounds that InterMune and Roche develop and commercialize.  

The transaction will close following the expiration or early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvement Act of 1976, as amended.