Gilead, LEO Pharma partner to develop inflammatory disease programs By Reuters
(Reuters) – Gilead Sciences (NASDAQ: ) said on Saturday it had entered into a partnership with Denmark’s LEO Pharma to develop plans to treat patients with inflammatory diseases.
The Danish company will be eligible for payments of up to $1.7 billion including an upfront payment of $250 million from Gilead.
In return, Gilead will have worldwide rights to develop, manufacture, and sell the oral small molecule STAT6 (signal transducer and activator of transcription 6) system.
Targeting STAT6 has shown potential to treat a wide range of patients with inflammatory conditions such as atopic dermatitis, asthma and COPD, the statement said.
LEO Pharma may receive royalties ranging from the high single digits to the mid-teens on sales of the STAT6 title products.
The transaction is expected to reduce Gilead’s GAAP and non-GAAP 2025 earnings per share by approximately $0.15 – $0.17.
“In collaboration with LEO Pharma, we hope to explore the potential of the STAT6 approach to deliver an oral option to patients with chronic inflammatory conditions,” said Flavius Martin, senior vice president of research at Gilead Sciences.
