Galapagos announces GSK decision to exercise option for investigational medicines GLPG0778 and GLPG0555
MECHELEN, BELGIUM--(Marketwire - Feb 21, 2012) - Galapagos NV (Euronext: GLPG) announced today that GlaxoSmithKline has exercised its option to exclusively license investigational compound GLPG0778 and its corresponding back-up compound GLPG0555, both discovered and developed within GSKs immuno-inflammatory alliance with Galapagos. GSK will have the right to continue the clinical development of these candidate compounds. Galapagos will receive an option fee payment of single-digit million Euros from GSK, which contributes to 2011 Group revenues. Galapagos is eligible, without further financial investment from Galapagos, to receive from GSK more than EUR34M in future milestones plus royalties on these two compounds.
Galapagos believes that today's option exercise by GSK further highlights Galapagos' rapid progression of early discovery programs into clinical results. In the alliance with GSK, GLPG0778 was identified and progressed to a successful option exercise within 30 months, making the transition from committing to the target to clinical Proof of Mechanism in 5 years. "GLPG0778 and GLPG0555 are the first Galapagos alliance compounds to be in- licensed into a large pharma portfolio," said Onno van de Stolpe, CEO of Galapagos. "We are excited to follow the future development and potential commercialization of GLPG0778 and GLPG0555 by GSK."
Galapagos (Euronext: GLPG) (PINKSHEETS: GLPYY) is a mid-size biotechnology company specialized in the discovery and development of small molecule and antibody therapies with novel modes-of-action. The Company is progressing GLPG0634, as well as one of the largest pipelines in biotech, with seven programs in development and over 50 discovery programs. The Galapagos Group has about 800 employees and operates facilities in six countries, with global headquarters in Mechelen, Belgium. More info at: www.glpg.com
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Posted: February 2012