Under the terms of the agreement, Arius will receive an upfront licensing fee and may receive milestone payments based on progress through clinical development as well as royalties on net sales of any products resulting from the collaboration.
Genentech will assume the responsibility and costs of development and commercialization.
"Out-licensing one of our lead programs to Genentech achieves a number of key objectives for the company and represents a significant milestone under the ARIUS business model," said Dr. David Young, President of Arius Research Inc.
"Genentech has demonstrated extensive scientific and commercialization expertise with antibodies for cancer and Arius is optimistic that, down the road, patients will have more and better treatment options arising from this collaboration."
The agreement represents the first anti-cancer antibody developed from Arius' FunctionFIRST™ platform to be out-licensed.