Regeneron And Bluebird Team To Invent New Cell Therapies For Cancer
Monday, August 6, 2018
Regeneron Pharmaceuticals, the $5.9 billion (sales) Tarrytown, N.Y.-based biotech firm , and gene therapy upstart Bluebird Bio will team up to invent genetically modified white blood cells that can attack cancer -- a technology known as CAR-T cells.
The collaboration will make use of Regeneron's technologies for using mice to create human antibodies and receptors for T cells, a type of white blood cell. The two companies have already selected six potential targets for development. They will split research costs on each product until it is ready to begin testing in human beings. Other products can be added to the product during the collaboration, which will last five years.
When a product enters human trials, Regeneron will have the option of opting in to a 50/50 deal to develop it; in that case, the companies will also split profits. Should Regeneron decide not to opt in, it will receive milestone payments and royalties on the product.
Regeneron is also investing $100 million in Bluebird at a 59% premium to the closing price of Bluebird stock on Friday. The $37 million premium will be credited against Regeneron's share of research costs for the new products.