ViroLogik seals collaboration with 4SC in viral infections

 Licensing and collaboration agreement

Drug discovery specialist 4SC AG of Martinsried, Germany, has received an upfront payment of Euro 750,000 when it agreed a licensing and cooperation agreement with ViroLogik GmbH, of Erlangen, for the preclinical drug SC68896 in the treatment of viral diseases.

Under the agreement ViroLogik has global rights to develop, manufacture and market SC68896 in viral infections, while 4SC will develop the product in the treatment of cancer.

Both companies will exchange expertise acquired during the development also implement shared development activities.

In addition, ViroLogik has an option agreement to acquire additional compounds from 4SC.

Following on from the upfront payment 4SC will be entitled to milestone payments of up to €56.5 million, plus royalties for each product developed and marketed and from possible back-up substances based on SC68896.

SC68896 is a protease inhibitor which is in preclinical development for the treatment of multiple myeloma and brain tumours. 4SC is currently working on lead optimization.

“There is evidence that inhibiting cellular proteases can be a successful strategy against viral diseases. We are delighted to be able to fully exploit the potential of SC68896 with ViroLogik,” said Ulrich Dauer, Chairman of the Management Board of 4SC. “It is the synergies [that] are to be achieved from joint clinical developmental activities which make the cooperation particularly interesting”