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Amgen and Xencor Enter Option Deal to Co-Develop Xencor's Novel Antibody for Autoimmune Diseases
Date:1/6/2011

THOUSAND OAKS, Calif. and MONROVIA, Calif., Jan. 6, 2011 /PRNewswire/ -- Amgen (Nasdaq: AMGN) and Xencor, Inc. announced today that they will collaborate to develop XmAb®5871, an Fc- engineered monoclonal antibody dually targeting CD19 and CD32b.  XmAb5871 is currently in late-stage preclinical development for the treatment of autoimmune diseases.  

Under the terms of the agreement, Amgen has the option to an exclusive worldwide license following the completion of a pre-defined Phase 2 study.  Xencor will lead all clinical development until that time.  Xencor will receive an up-front and early development milestone payments.  If Amgen does exercise its option, Amgen will assume responsibility for future development, Xencor will receive an option-exercise fee which, combined with the up-front and early development milestones, will total $75 million, and Xencor could receive up to an additional $425 million in clinical, regulatory and commercialization milestone payments.  Xencor will receive tiered royalties on future sales of XmAb5871.

Xencor's CD32b technology is a novel immunomodulatory platform consisting of engineered Fc domains with selective high affinity binding to FcyRIIb (CD32b), a receptor with dominant inhibitory activity on B cells and other immune cells. The CD32b pathway has never been therapeutically exploited and applied to high affinity antibodies targeting immune cells.

"XmAb5871 provides a novel approach to suppress B-cell function which will enhance Amgen's internal efforts in inflammatory diseases," said Joseph P. Miletich, M.D., Ph.D., senior vice president, Research & Development at Amgen.  "We are delighted to have the opportunity to partner with Xencor in exploring their novel immunomodulatory approach."

"Amgen's long-time leadership in antibody development for oncology and i
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SOURCE Amgen
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