Nabi Closes License Deal With Glaxosmithkline
From Associated Press (March 8, 2010)
ROCKVILLE, Md. -- Nabi Pharmaceuticals said Monday it closed an option and license agreement for the smoking vaccine candidate NicVAx with GlaxoSmithKline.
The deal is potentially worth more than $500 million, including a $40 million upfront payment to Nabi and future milestone and royalty payments.
Nabi shareholders voted in favor of the deal on Tuesday. The companies announced it in November.
Nabi is developing NicVAx, which is intended to train the immune system to make antibodies that will attach themselves to nicotine. The goal is to keep the nicotine molecules from reaching the brain so people can quit smoking and not start again.
GlaxoSmithKline, based in London, will also start developing a second-generation version of the vaccine.
Shares of Nabi rose 6 cents to $5.57 in afternoon trading.
GlaxoSmithKline lost 14 cents at $37.40.
Posted: March 2010
