Glaxo signs early drug discovery deal with UK firm
LONDON, Jan 12 (Reuters) - GlaxoSmithKline (GSK.L) has signed a three-year drug discovery deal with privately held British biotech company Biotica Technology, giving the drugmaker access to Biotica's early-stage work in inflammatory diseases.
Biotica said on Monday it would receive an initial cash payment and up to 86 million pounds ($129.6 million) for each compound successfully developed.
Glaxo has also made an upfront equity investment in Biotica.
The collaboration focuses on novel erythromycin-based macrolide compounds for treating unspecified inflammatory diseases. These compounds have yet to reach the pre-clinical development stage, according to Biotica's website, which means they are still many years from hitting the market.
Biotica's most advanced research is in a group of compounds known as rapamycin analogues, where it is working with Wyeth WYE.N. (Reporting by Ben Hirschler; Editing by Jon Loades-Carter)
