(Adds comment from Viropro in the fourth paragraph and updated
stock price.)
DOW JONES NEWSWIRES
Spectrum Pharmaceuticals Inc. (SPPI) signed a deal with Viropro
Inc. (VPRO) to develop a biosimilar version of Swiss pharmaceutical
giant Roche Holding AG's (RHHBY, ROG.VX) cancer drug rituximab
ahead of its U.S. patent expiration in 2015.
The agreement comes as many patent expirations loom over large
pharmaceutical companies. Rituximab, used in the treatment of many
lymphomas, leukemias, transplant rejection and some autoimmune
disorders, saw worldwide sales of about $5.6 billion in 2009.
Financial terms weren't disclosed.
Viropro, a biotech drug maker, said Spectrum will license the
rights to certain technology and it should get milestone payments
over 36 months and royalty payments from ensuing sales.
Biosimilar drugs are officially approved versions of
biopharmaceutical products made by a different company as patent
and exclusivity expire on the product.
Biotech company Spectrum, which has a focus on cancer treatment,
has been focused on making another push to improve the weak sales
of its leading drug Zevalin. In its most recent quarterly results,
Spectrum swung to a loss as it spent more to market Zevalin and
another drug, Fusilev, which treats a vitamin deficiency in
patients who have been treated with chemotherapy for colorectal
cancer.
Meanwhile, Roche, the world's biggest maker of cancer drugs, is
facing pressure following the U.S. Food and Drug Administration
December decision to revoke approval of blockbuster drug Avastin
for the treatment of breast cancer. The company has said it will
appeal.
Spectrum shares were up 4 cents at $6.92. The stock is up 49%
over 12 months.
-By Lauren Pollock, Dow Jones Newswires; 212-416-2356;
lauren.pollock@dowjones.com;