By Matthew Willett

Staff Writer

First the Mouse, now the CAT.

Just days after expanding its deal with XenoMouse antibody developers Abgenix Inc., Immunex Corp. is playing the other side of the fence, dealing with Cambridge Antibody Technology plc (CAT) for phage display library access and eight exclusive therapeutic antibody product options.

The move is the latest expansion for Seattle-based Immunex in the human monoclonal antibody (MAb) development field. The deal calls for a license fee, milestones and royalty payments to CAT in exchange for CAT's antibody library for reagent generation and target validation, and eight options to develop MAbs.

Specific financial terms of the alliance were not disclosed. Thomas Daniel, vice president, cancer and vascular biology at Immunex, called the CAT technology an empowering tool for Immunex. Though he wouldn't confirm Immunex's plans toward similar collaborations in the future, he said the deals with CAT and Abgenix give the company a strong base for future activities.

The deal last week with Abgenix called for Immunex to jointly develop 10 cancer-specific antibodies in addition to ABX-EGF, an anticancer agent the companies agreed to co-develop in July. (See BioWorld Today, Nov. 29, 2000.)

CAT, of Melbourn, UK, produces fully human antibodies derived from phage display technologies. Its phage display library includes about 100 billion antibodies.

Bear Stearns & Co. Inc. analyst Akhtar Samad reiterated a buy rating for Immunex on the news Friday, calling the company's stock "attractively valued."

"We believe that this collaboration emphasizes Immunex's desire to expand its monoclonal antibody development programs," Samad said in a research note. "This is the second antibody collaboration announced by Immunex in the past week, and the third collaboration Immunex has entered into for the development of antibody therapeutics."

Samad told BioWorld Today Immunex is making an effort toward diversification in its pipeline, a step that's critical in the increasingly competitive sector.

"This is one of several deals this company is going to be making, and it may be representative of the kinds of collaborations that Immunex is going to embark on," Samad said. "It's very important to diversify your pipeline. It's an incredibly competitive environment, and the most successful biotechs need to look at protein-type drugs and small molecule-type drugs to have a truly diverse pipeline. This will also enable [Immunex] to identify blockbuster follow-on products to Enbrel."

Founded in 1981, Immunex's FDA-approved products include Enbrel, a tumor necrosis factor inhibitor; Leukine, a yeast-derived granulocyte macrophage-colony stimulating factor; and the chemotherapeutic Novantrone, which also is approved for secondary progressive multiple sclerosis.

The company continues to develop Enbrel, testing its long-term safety in rheumatoid arthritis patients. The company also is developing the drug for psoriasis and psoriatic arthritis.

Also in development is Avrend (CD40L), a kidney cancer therapeutic that began a Phase II trial in early 1999. In May 1999, Immunex and Genentech Inc., of South San Francisco, entered into a development and marketing agreement for the anticancer agent TRAIL/Apo2L.

Immunex's stock (NASDAQ:IMNX) closed Friday at $37.625, up 43.75 cents.