Gazette.Net: MedImmune ventures in Chinese drug market

MedImmune is teaming up with a Chinese company to launch a joint venture designed to develop and commercialize in China a new biologic therapy for rheumatoid arthritis and other autoimmune and inflammatory diseases.

Under the venture, the Gaithersburg biotech will provide technical and development expertise and WuXi AppTec will provide local regulatory, manufacturing, pre-clinical and clinical trial support.

Chinese law requires companies that conduct clinical trials to manufacture the experimental treatments locally when they haven't yet been approved in other markets, according to a MedImmune statement. MEDI5117, as the new treatment is called, is in phase 1 clinical trials in the U.S. and Europe.

"This strategic partnership will enable us to establish a leadership presence in developing novel biologics in China, complementing AstraZeneca's investment in this important emerging market," Bahija Jallal, MedImmune's executive vice president for research and development, said in the statement. MedImmune is the global biologics division of British pharma giant AstraZeneca.

The two companies will have equal ownership of the joint venture; AstraZeneca has the option to acquire full commercialization rights for MEDI5117. WuXi AppTec will earn revenue based on services provided to the joint venture, and MedImmune will receive milestone payments as the program progresses.

"WuXi is working to build long-term drug development partnerships with leading biopharmaceutical companies like MedImmune to help accelerate the development of novel medicines for the large and rapidly growing Chinese pharmaceutical market," Ge Li, chairman and CEO of WuXi AppTec, said in the statement.

China's pharmaceutical market grew from $10 billion in 2004 to $41 billion in 2010 and, according to IMS Health, is projected to grow to more than $100 billion by 2014, MedImmune said.

In other Maryland bioscience industry news:

Rockville biotech 20/20 GeneSystems reported that it will receive the final payment of about $1 million from a three-year, $2.75 million federal grant it won to help develop a test that predicts how well a breast tumor will respond to the cancer drug Herceptin.

The Small Business Innovation Research grant was from the National Cancer Institute.

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Gazette.Net: MedImmune ventures in Chinese drug market