Johnson & Johnson group Janssen Biotech has bought itself access to Halozyme Therapeutics’ drug delivery enhancing system in a deal valued at up to $581 million.
The Enhanze platform uses Halozyme’s patented recombinant human hyaluronidase enzyme (rHuPH20) to temporarily modify hyaluronan, part of the extracellular matrix, to facilitate better dispersion and absorption of injected medicines.
Under the terms of the deal, Halozyme has granted Janssen a global license to develop and commercialise products for up to five targets combining rHuPH20 with its proprietary compounds, and will also offer expertise in applying its technology to these targets.
In return, Halozyme stands to receive an upfront payment of $15 million and up to $566 million in development, regulatory and sales-based milestones, and it could also bank royalty payments if any products using Enhanze technology make it to market.
Enhanze is cerrtainly a key player in Halozyme's game plan, and news of the new deal saw its stock trading up more than 14% by late afternoon Wednesday on the Nasdaq.