AMRI Receives Milestone Payment From Licensing Agreement with Bristol-Myers SquibbALBANY, N.Y.--(BUSINESS WIRE)--Jun 11, 2007 - Albany Molecular Research, Inc. (NASDAQ: AMRI) announced today that a compound being developed under its license and research agreement with Bristol-Myers Squibb Company (NYSE: BMY) will proceed into preclinical development, triggering a $1.5 million payment to AMRI. This marks the first milestone in the ongoing research collaboration between the two companies to develop improved treatments for depression and diseases of the central nervous system (CNS).
Under the 2005 licensing agreement, Bristol-Myers Squibb received an exclusive license to develop and commercialize a series of biogenic amine reuptake inhibitors from AMRI's proprietary research program. Specifically, the payment results from the nomination of a clinical candidate and subsequent advancement of that candidate into preclinical toxicity and safety testing by Bristol-Myers Squibb. Pending favorable results in these advanced tests, the compound may eventually be moved into Phase I clinical testing in humans, at which point an additional milestone payment would be triggered.
The nominated compound is a biogenic amine reuptake inhibitor acting at multiple targets, which may represent a new class of therapeutic agents that could lead to an improved treatment for depression or other CNS disease indications. The two companies will continue to evaluate additional compounds for development, as the nominated compound announced today progresses further along the development pipeline.
Under the original agreement, AMRI is eligible to receive up to $66 million per compound in development and regulatory milestone payments for the first two compounds and additional payments of up to $22 million per compound on subsequent compounds. In addition, AMRI will receive royalties on worldwide sales of commercialized compounds.
About Albany Molecular Research
Founded in 1991, AMRI provides scientific services, products and technologies that improve quality of life while delivering excellence, value and maximum return. AMRI's core business consists of a fee-for-service contract services platform encompassing drug discovery, development and manufacturing; and a separate, standalone R&D division comprising proprietary technologies, internal drug discovery and bundled capabilities designed for more collaborative relationships. With locations in the U.S., Europe, and Asia, AMRI provides customers with a wide range of services and cost models.
Albany Molecular Research Forward-Looking Statement
Statements in this press release that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. These statements may be identified by forward-looking words such as "may," "could," "should," "would," "will," "intend," "expect," "anticipate," "believe" and "continue" or similar words. Readers should not place undue reliance on our forward-looking statements. The company's actual results may differ materially from such forward-looking statements as a result of numerous factors, some of which the company may not be able to predict and may not be within the company's control. Factors that could cause such differences include, but are not limited to (a) the company's performance under the collaboration with BMS; (b) BMS's continuous utilization of the company's services at levels set forth in the contract; (c) BMS's continued pursuit of programs under which the company provides services; (d) delay or denial of marketing approvals from the FDA resulting from, among other things, adverse FDA decisions or interpretations of data that differ from BMS's interpretations and that may require additional clinical trials or potential changes in the cost, scope and duration of clinical trials; and (e) the outcome of clinical work that will be required to commercialize compounds, as well as those factors discussed in the company's Annual Report on Form 10-K for the year ended December 31, 2006 as filed with the Securities and Exchange Commission on March 15, 2007 and the company's other SEC filings. The company does not undertake any duty to and does not intend to update any forward-looking statements contained in this press release after the date of this press release.
David Albert, Director of Communications, 518-512-2229
Posted: June 2007