FREMONT, Calif., Sept. 12 /PRNewswire-FirstCall/ -- Protein Design Labs,
Inc. (PDL) (Nasdaq: PDLI) today announced the successful closing of its
previously-announced collaboration with Biogen Idec following the satisfaction
of all closing conditions, including expiration of the waiting period required
under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended.
On August 2, 2005, PDL and Biogen Idec announced the broad collaboration for
the joint development, manufacture and commercialization of three Phase II
antibody products. The agreement provides for shared development and
commercialization of daclizumab in multiple sclerosis and indications other
than transplant and respiratory diseases, and for shared development and
commercialization of M200 (volociximab) and HuZAF(TM) (fontolizumab) in all
indications.
At the closing, PDL received an upfront payment of $40 million, and Biogen
Idec purchased common stock from PDL for aggregate proceeds to PDL of
approximately $100 million. The shares purchased are subject to certain
lock-up restrictions. If multiple products are developed successfully in
multiple indications and all milestones are achieved, PDL could receive
certain development and commercialization milestone payments totaling up to
$660 million. Of these, $560 million are related to development and $100
million are related to commercialization of collaboration products.
About PDL
PDL is a biopharmaceutical company focused on the research, development
and commercialization of novel therapies for inflammation and autoimmune
diseases, acute cardiac conditions and cancer. PDL markets several
biopharmaceutical products in the United States through its hospital sales
force and wholly-owned subsidiary, ESP Pharma, Inc. As a leader in the
development of humanized antibodies, PDL has licensed its patents to numerous
pharmaceutical and biotechnology companies, some of which are now paying
royalties on net sales of licensed products. Further information on PDL is
available at http://www.pdl.com.
The foregoing contains forward-looking statements involving risks and
uncertainties and PDL's actual results may differ materially from those in the
forward-looking statements. In particular, there can be no assurance that the
parties will successfully develop or achieve the milestone events on any of
the products or that the parties will perform their obligations under the
agreement as anticipated. While the parties are bound to proceed with certain
obligations, the agreement contains provisions under which parties can reduce
or eliminate their obligations to develop, manufacture and commercialize
products, and no assurance can be given that either party will proceed with
the development and commercialization of any product. Other factors that may
affect the development and commercialization of products are discussed in
PDL's Annual Report on Form 10-K for the year ended December 31, 2004, and in
its Quarterly Report on Form 10-Q for the quarter ended June 30, 2005 and in
other filings made with the Securities and Exchange Commission. All
statements included in this press release are based upon information available
to PDL as of the date hereof, and PDL assumes no obligation to update any such
forward-looking statements.
NOTE: Protein Design Labs and the PDL logo are registered U.S. trademarks
and HuZAF is a trademark of Protein Design Labs, Inc.
SOURCE Protein Design Labs, Inc.
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Related links:
http://www.pdl.com
CONTACT:
James R. Goff, Senior Director, Investor
Relations of Protein Design Labs, +1-510-574-1421, or
jgoff@pdl.com
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