Ribi ImmunoChem Research Inc. and Lederle-Praxis Biologicalshave signed a letter of intent to complete the negotiation of aco-exclusive license and supply agreement for the use of Ribi'sadjuvants in a group of vaccines that Lederle-Praxis (a divisionof American Cyanamid Co.; NYSE:ACY) is developing.
Ribi, based in Hamilton, Mont., will grant Lederle-Praxis aworldwide license to use Ribi adjuvants commercially oncethose vaccines are approved by regulatory authorities.
In addition to annual license fees, Ribi (NASDAQ:RIBI) willreceive transfer payments for supplies of adjuvant and will beentitled to royalties on commercial sales by Lederle-Praxis.Lederle-Praxis of Wayne, N.J., will be responsible forcompleting product development and clinical trials, obtainingregulatory approval and marketing the vaccines. Ribi willmanufacture clinical and commercial supplies of the adjuvants.
Lederle-Praxis' vaccines contain genetically enginered and sub-unit antigens, which often generate only a weak immuneresponse. Ribi's adjuvants enhance both protective humoral(antibody) and cellular immune responses.
Lederle-Praxis is developing vaccines for pertussis,Haemophilus influenzae and Streptococcus pneumoniae (both ofthe latter are causes of meningitis) as well as other specifiedbacterial and viral diseases.
-- Jennifer Van Brunt Senior Editor
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