UPDATE 1-Intercell and Boehringer strike animal vaccine deal

Mon May 10, 2010 11:08am EDT

Related Topics

* Intercell to get upfront, option and milestone payments

* Will also get royalties on product net sales

* Boehringer to use certain antigens from Intercell's AIP

(Adds detail, background)

ZURICH, May 10 (Reuters) - Austrian biotech company Intercell ICEL.VI and German gorp Boehringer Ingelheim Vetmedica have struck a deal to develop animal vaccines, marking Intercell's first move outside human health.

Intercell, which is developing vaccines for a number of infectious diseases, will get upfront, option and milestone payments as well as royalties on product sales, it said on Monday.

Boehringer Ingelheim Vetmedica will have the right to use certain antigens from Intercell's antigen identification programme (API) to develop animal vaccines, Intercell said.

Intercell, the only major independent vaccine maker left in Europe aside from Dutch company Crucell CRCL.AS, last year started to sell its Japanese Encephalitis vaccine Ixiaro, distributed with Swiss group Novartis (NOVN.VX).

The group is also developing a vaccine for S.aureus, a type of bacteria that can cause serious infection, with Merck KGaA (MRCG.DE) and a vaccine patch against traveller's diarrhea, which it is developing with GlaxoSmithKline (GSK.L). (Reporting by Katie Reid; Editing by Dan Lalor)