Alector, GSK To Co-develop Monoclonal Antibodies For Neurodegenerative Diseases

(RTTNews) - Alector Inc. (ALEC) and GlaxoSmithKline plc (GSK, GSK.L) have collaborated to co-develop progranulin-elevating monoclonal antibodies, AL001 and AL101, for a range of neurodegenerative diseases, including frontotemporal dementia, amyotrophic lateral sclerosis, Parkinson's disease and Alzheimer's disease.

The companies will co-commercialize and share profits in the US. GSK will retain exclusive commercialization rights outside the US.

Alector will lead the global clinical development of AL001 and AL101 through Phase 2 proof-of-concept. Thereafter, Alector and GSK will share development responsibilities for all late-stage clinical studies for AL001 and AL101 and all costs for global development will be divided between the two companies.

As per the terms of the deal, Alector will receive $700 million in upfront payments. In addition, Alector will be eligible to receive up to an additional $1.5 billion in clinical development, regulatory and commercial launch-related milestone payments.