Ligand And TG Therapeutics Sign IRAK-4 License Agreement
Ligand Pharmaceuticals announced that it has signed an exclusive global license agreement with clinical stage biopharmaceutical company TG Therapeutics for the development and marketing of Ligand’s Interleukin-1 Receptor Associated Kinase-4 (IRAK-4) inhibitors.
IRAK-4 is a serine/threonine protein kinase that acts as a key downstream signaling component of the interleukin-1 receptor and several toll-like receptors. This signaling through IRAK-4 is key for both innate immunity and inflammation. The IRAK-4 program is currently in preclinical development for potential use in some cancers and autoimmune diseases. Ligand acquired rights to the IRAK-4 program during its discovery stage through its acquisition of Pharmacopeia in 2008.
John Higgins, President and CEO of Ligand Pharmaceuticals, said, “Through this partnership, we are combining our IRAK-4 inhibitors program with the promising clinical portfolio of an oncology-focused company capable of efficiently advancing this asset. TG Therapeutics has a proven ability in transitioning preclinical compounds into best-in-class clinical programs and IRAK-4 is an ideal complement to their two clinical-stage hematology products, namely TG-1101, or ublituximab, and TGR-1202, a PI3K delta inhibitor.” Higgins said that there may be more opportunities for treatment synergies between IRAK-4 inhibitors and other programs based on the progress of the research areas.
As part of the agreement, Ligand is eligible to receive as upfront license fee of 125,000 shares of TG Therapeutic common stock, valued at around $1 million at the date of signing. The company is entitled to also receive $207 million in potential milestone payments. Ligand is eligible to receive tiered royalties of 6 to 9.5 percent on future net sales of licensed drugs containing patented IRAK-4 inhibitors.
Higgins concluded, “Our agreement with TG Therapeutics is structured such that both companies will be highly rewarded should this program be successful in generating a commercial product, and builds upon our portfolio of more than 90 fully-funded partnerships.”