Seattle Genetics Expands Antibody-Drug Conjugate Collaboration with Abbott

  Seattle Genetics Expands Antibody-Drug Conjugate Collaboration with Abbott

Business Wire

BOTHELL, Wash. -- October 23, 2012

Seattle Genetics, Inc. (Nasdaq:SGEN) today announced that it has expanded its
antibody-drug conjugate (ADC) collaboration with Abbott (NYSE:ABT). Under the
expanded deal, Abbott will pay an upfront fee of $25 million for rights to
utilize Seattle Genetics’ auristatin-based ADC technology with antibodies to
additional oncology targets. In addition, Seattle Genetics may receive up to
$220 million in potential milestone payments per additional target upon
achieving predetermined development and commercial objectives, as well as
mid-to-high single-digit royalties on worldwide net sales of any resulting
products under the multi-target collaboration.

“ADCs have emerged as an important therapeutic approach to cancer, driven by
the FDA approval of ADCETRIS^®, and encouraging data from numerous clinical
and preclinical ADC programs in development by Seattle Genetics and our
collaborators,” said Natasha Hernday, Vice President, Corporate Development at
Seattle Genetics. “We are leading the field in ADC development, and this
expanded collaboration with Abbott further validates our technology and
approach in targeting and treating cancer.”

Seattle Genetics and Abbott originally entered into an ADC collaboration in
March 2011 under which Abbott paid an upfront fee of $8 million for rights to
utilize Seattle Genetics’ ADC technology with antibodies to a single oncology
target. Abbott is responsible for research, product development, manufacturing
and commercialization of any ADC products under the expanded collaboration. In
addition to the upfront payment and potential milestone payments and
royalties, Seattle Genetics will receive annual maintenance fees and research
support payments for assistance provided to Abbott under the collaboration.

ADCs are monoclonal antibodies that are designed to selectively deliver
cytotoxic agents to tumor cells. With over a decade of experience and
knowledge in ADC innovation, Seattle Genetics has developed proprietary
technology employing synthetic cytotoxic agents, such as monomethyl auristatin
E (MMAE) and monomethyl auristatin F (MMAF), and stable linker systems that
attach these cytotoxic agents to the antibody. Seattle Genetics’ linker
systems are designed to be stable in the bloodstream and release the potent
cell-killing agent once inside targeted cancer cells. This approach is
intended to spare non-targeted cells and thus reduce many of the toxic effects
of traditional chemotherapy while enhancing antitumor activity. ADCETRIS
(brentuximab vedotin) is the first drug approved utilizing Seattle Genetics’
ADC technology.

About Seattle Genetics

Seattle Genetics is a biotechnology company focused on the development and
commercialization of monoclonal antibody-based therapies for the treatment of
cancer. The U.S. Food and Drug Administration granted accelerated approval of
ADCETRIS in August 2011 for two indications. ADCETRIS is being developed in
collaboration with Millennium: The Takeda Oncology Company. In addition,
Seattle Genetics has three other clinical-stage ADC programs: SGN-75, ASG-5ME
and ASG-22ME. Seattle Genetics has collaborations for its ADC technology with
a number of leading biotechnology and pharmaceutical companies, including
Abbott, Agensys (an affiliate of Astellas), Bayer, Celldex Therapeutics,
Daiichi Sankyo, Genentech, GlaxoSmithKline, Millennium, Pfizer and Progenics,
as well as ADC co-development agreements with Agensys and Genmab. Across
Seattle Genetics’ internal and collaborator programs, there are more than 15
ADCs in clinical development utilizing the company’s technology. More
information can be found at

Certain of the statements made in this press release are forward looking, such
as those, among others, relating to the therapeutic potential and future
clinical progress, regulatory approval and commercial launch of products
utilizing Seattle Genetics’ ADC technology. Actual results or developments may
differ materially from those projected or implied in these forward-looking
statements. Factors that may cause such a difference include risks related to
adverse clinical results as our product candidates or our collaborators’
product candidates move into and advance in clinical trials, risks inherent in
early stage development and failure by Seattle Genetics to secure or maintain
relationships with collaborators. More information about the risks and
uncertainties faced by Seattle Genetics is contained in the Company’s
quarterly report on Form 10-Q for the quarter ended June 30, 2012 filed with
the Securities and Exchange Commission. Seattle Genetics disclaims any
intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.


Seattle Genetics, Inc.
Peggy Pinkston, 425-527-4160
Tricia Larson, 425-527-4180
Press spacebar to pause and continue. Press esc to stop.