Compugen To Receive $2 Mln Milestone Payment From AstraZeneca Under License Deal - Quick Facts

(RTTNews) - Compugen Ltd. (CGEN), a clinical-stage cancer immunotherapy company, said Wednesday that a preclinical milestone has been achieved under its ongoing license agreement with AstraZeneca plc (AZN, AZN.TO). In connection with this first milestone, Compugen is entitled to receive a $2 million payment from AstraZeneca.

Under the terms of the deal that was entered into in April 2018, Compugen provided an exclusive license to AstraZeneca for the development of bispecific and multi-specific antibody products based on one of Compugen's pipeline programs. AstraZeneca has the right to create multiple products under this license and is solely responsible for all research, development and commercial activities. Compugen retains all other rights to its entire pipeline of programs as monotherapies and in combination with other products.

Compugen has received a $10 million upfront payment and is eligible to receive up to $200 million in development, regulatory and commercial milestones for the first product as well as tiered royalties on future product sales. The company will receive additional milestones and royalties if additional products are developed.

"We are delighted that AstraZeneca has chosen to continue the development of this bispecific program, providing further validation of Compugen's discovery and development capabilities," said Anat Cohen-Dayag, President and CEO of Compugen.