Takeda Collaboration
Affymax’s collaboration with Takeda for worldwide development and commercialization of peginesatide (formerly known as Hematide™) is an example of execution of its partnering strategy.
In February 2006, Affymax entered into a collaboration with Takeda to develop and commercialize peginesatide in Japan. That agreement was expanded further in June 2006, when the companies entered into a worldwide development and commercialization agreement for peginesatide, whereby Affymax assumed primary responsibility for development and commercialization of peginesatide in renal indications in the United States and Takeda has assumed primary responsibility for all oncology indications and ex-U.S. renal opportunities. In 2008, Affymax and Takeda agreed to suspend the development of peginesatide to treat chemotherapy-induced anemia and to focus all development efforts for peginesatide on the treatment of anemia in chronic renal failure patients. Importantly, the deal structure allows Affymax to build its own commercial renal franchise.
As part of the agreement, Takeda paid Affymax upfront license fees of $122 million and purchased $10 million of equity. Takeda also committed to up to $355 million in clinical and development milestone payments across renal and oncology indications. In addition, Takeda funded the first $50 million of third party expenses related to clinical development of peginesatide. Subsequent to that, the agreement calls for Affymax to pay 30 percent and Takeda to pay the remaining 70 percent of all third-party peginesatide development expenses. Each company is responsible for their own overhead and personnel related expenses. Once the product is on the market, the companies will share profits equally in the United States and Takeda will pay Affymax royalties based on net sales of peginesatide outside the United States.
Affymax is pleased to have Takeda as its worldwide partner for peginesatide. Takeda is the largest pharmaceutical company in Japan and has a significant presence in the United States and Europe.