prr signs licencing deal with zymogenetics

Prima Biomed signs licensing deal with U.S. biopharmaceutical company
ZymoGenetics for rights to Prima’s anti-inflammatory Fc receptor technology
Melbourne, Australia. 15 December, 2004: Prima Biomed (ASX:PRR) today announced
the completion of negotiations with U.S. biopharmaceutical company ZymoGenetics Inc,
granting the company a worldwide non-exclusive option with right of first refusal to develop
biological inhibitors to Prima’s anti inflammatory Fc receptor, which was developed by
Melbourne’s Austin Research Institute.
An upfront option fee will enable ZymoGenetics to evaluate Prima’s Fc receptor technology
as a biological inhibitor for up to two years. During the two-year evaluation period,
ZymoGenetics has the right to secure an exclusive worldwide licence to the technology.
ZymoGenetics will pay Arthron an option fee of $US100,000 for the first year, a second year
option fee of $US150,000 and a fee of $US500,000 if the company chooses to secure
exclusive license to the technology. Prima may earn potential milestone payments and sales
bonuses as the technology is progressed through a preclinical and IND based clinical trial
program.
"This deal is a result of Prima's business strategy of negotiating multiple licences related to
our Fc receptor platform technology and represents a further achievement in Prima’s strategy
of partnering Prima’s technology pipeline with global biopharmaceutical companies.
We are very pleased to have ZymoGenetics as the development partner for this technology
due to their excellent reputation in the development of therapeutic proteins and the significant
investment ZymoGenetics will make over the next two years as they undertake the
development of biological inhibitors to the Fc receptor at their Seattle based facilities" said
Mr. Eugene Kopp, Chairman of Prima Biomed.
Under the terms of the licence agreement, Prima retains all other rights associated with
development of the Fc receptor technology, including the rights to sublicense or develop
small molecular inhibitors of the Fc receptor, antibody-based inhibitors of the Fc receptor and
diagnostics.