Elan announces therapeutics deal with Boehringer
Under the deal Boehringer Ingelheim will perform the technical development, clinical manufacturing and related regulatory filing support services for antibodies discovered by Elan.
Speaking about the deal, Dr. Johannes Roebers, senior vice president and head of biologic strategy, planning and operations at Elan said: “We are excited to collaborate with Boerhinger Ingelheim, a highly regarded and world-class leader in biological technical development and manufacturing.
“The agreement enables Elan to focus resources on discovery and the clinical progression of our science while leveraging Boehringer Ingelheim's process development and production capabilities.”
Simon Sturge, corporate senior vice president of Boehringer's biopharmaceuticals division said he was looking forward to working with the team at Elan.
“The combination of Elan's successful track record and the discovery and clinical development of antibody based therapeutics with our proven expertise in technical development and manufacturing will be an optimal fit,” he said.
“This is a first step in our new strategy engaging our technology platforms at a very early stage in product development.”
Executive vice president and chief scientific officer at Elan, Dr. Dale Schenk, said the collaboration with Boehringer Ingelheim was “highly compelling.”
“It leverages our respective capabilities and provides the opportunity to create significant value for Elan,” he said, “these programs are broad in scope and are innovative across technology, targets and possible disease application.”
Financial results
News of the agreement with Boehringer Ingelheim comes after a good week for Elan, which saw the Irish company record operating profits for the first time since 2001.
The company claimed it had “met or exceeded all its financial guidance” for the last year, with revenue up 5 per cent to $1.2bn and a 9 per cent decrease in operating expenses. However, a settlement agreement with the US government over the epilepsy drug, Zonegran, resulted in reserve charges of $206.3m.
Elan CEO, Kelly Martin, said: “2010 was a year of tangible advancement for Elan. Revenue growth combined with prudent and disciplined cost management enabled us to achieve our goal of operating profitability before other charges and gains.”
Elan EVP and CEO, Shane Cooke, said he expected 2011 to be “cash positive” for the company, driven by accelerating revenue growth and reduced operating expenses.
