Big pharma company AstraZeneca announced an agreement with its U.S. peer Eli Lilly and Co. to jointly develop and commercialise BACE Inhibitor AZD3293, which is currently in development as a potential treatment for Alzheimer's disease.

Under the deal terms, Lilly will pay AstraZeneca up to $500 million in development and regulatory milestone payments.

AstraZeneca expects to receive the first milestone payment of $50 million in the first half of 2015.

The big pharma companies will share all future costs equally for the development and commercialisation of AZD3293, as well as net global revenues post-launch.

AZD3293 is an oral beta secretase cleaving enzyme or BACE inhibitor.

It has been shown in Phase I studies to significantly and dose-dependently reduce

AstraZeneca noted that both companies aim to progress AZD3293 rapidly into a Phase II/III clinical trial in patients with early Alzheimer's disease.

Lilly will lead clinical development, working with researchers from AstraZeneca's Innovative Medicines Unit for neuroscience, while AstraZeneca will be responsible for manufacturing.

The big pharma companies will take joint responsibility for commercialisation of AZD3293.

For further deal information visit Current Agreements (subscription required)

Related

Report: Partnering Deals and Alliances with AstraZeneca

Report: Alzheimer's Disease Partnering 2009-2014

View: Top 50 pharma – overview of top 50 pharmaceutical companies by revenue – partnering activity, deal news, partnering dealtalk

Browse: Complete Current Partnering report catalogue

View: Partnering Scorecard in CP Insight– view top life science partnering deals by value

View: Partnering’s DealMetrics in CP Insight – the latest deal trend infographics for life science deal making

View: CP Insight’s Big Pharma Deal Making Scorecard – latest trends in big pharma deal making activity

View: CP Insight’s Big Biotech Deal Making Scorecard – latest trends in big biotech deal making activity

Signup: Current Partnering Dealmakers Update – weekly newsletter providing the latest life science industry deal news, deal making trends, partnering events – sign up now

Signup: Current Agreements Deals Review – monthly newsletter – reviewing the previous month’s life science deal making – partnering, M&A and financing – sign up now

Subscribe: Current Agreements life sciences partnering, M&A and financing deals database – find out more

Follow us on: LinkedIn Current Partnering | LinkedIn Business Development Network | @Currentpartner on Twitter