Pfizer Inc (NYSE:PFE) and Flagship Pioneering have announced they will each invest an initial $50 million in a new partnership aimed at creating a new pipeline of innovative medicines targeting unmet needs.
In a statement, the companies said they will use the funds to explore opportunities to develop 10 single-asset programs within Pfizer's core strategic areas of interest and address unmet needs.
The partnership will leverage Flagship's ecosystem of more than 40 human health companies and multiple biotechnology platforms, and Pfizer will fund and have the option to acquire each selected development program, they added.
Flagship and its bioplatform companies will be eligible to receive up to $700 million in milestone payments and royalties for each successfully commercialized program.
Working in collaboration with Pfizer's research and development leadership, Pioneering Medicines, a drug discovery initiative of Flagship Pioneering, will lead the exploration process to drive rapid potential portfolio creation.
"This new partnership brings together the best of our organizations to maximize discovery and development potential from inception to impact through a unique innovation supply chain that sets us on a path to potentially realize transformational medicines more quickly and effectively,” said Paul Biondi, president of Pioneering Medicines and executive partner at Flagship Pioneering.
Dr. Mikael Dolsten, chief scientific officer and president for Worldwide Research, Development and Medical of Pfizer, commented: "This collaboration is an exciting opportunity for Pfizer to bring deep scientific expertise and apply our development and regulatory strength to Flagship's diverse portfolio of technology platforms, translating early-stage innovation to potential medicines.”
Pfizer’s shares were up 1.4% at $36.37 by late morning in New York.
Contact the author at stephen.gunnion@proactiveinvestors.com