Ip Group Share News (IPO)

(Sharecast News) - Gene and cell therapy firm Oxford Biomedica said on Tuesday that pharmaceutical giant Boehringer Ingelheim had exercised its option to license its lentiviral vector technology to manufacture, register and commercialise a treatment for cystic fibrosis.
Oxford Biomedica stated that under the terms of the option and license agreement, Boehringer Ingelheim will pay it an option exercise fee of £3.5m, while also being entitled to further development, regulatory and sales milestones of up to an additional £27.5m and a "tiered low single-digit royalty" on net sales of the cystic fibrosis gene therapy product.

Boehringer's move follows on from the striking of a development and supply agreement between the pair in April, which covered the clinical manufacture of various types of viral vector-based products.

Elsewhere, the German pharmaceutical group also exercised an option to license intellectual property and know-how from IP Group and the UK Cystic Fibrosis Gene Therapy Consortium in relation to the same lentiviral vector-based product candidate.

As of 0915 BST, Oxford Biomedica shares had inched ahead 0.33% to 1,494.92p.