Amgen and Takeda Pharmaceutical Co. Ltd. entered an agreement under which Takeda will develop and commercialize as many as 13 molecules from Amgen’s pipeline for the Japanese market. The collaboration includes early to mid-clinical-stage candidates across a range of therapeutic areas, including oncology, inflammation, and pain.     
    
Under the terms of the agreement, Amgen will receive an upfront cash payment of $200 million. Takeda will also pay to Amgen as much as $340 million in expected worldwide development costs for these molecules during the next few years, $362 million in success-based milestone payments, and royalties on sales in Japan. Also, Takeda plans to acquire all the shares of Amgen’s Japanese subsidiary, Amgen KK. The share transaction is expected to close in the first quarter.
   
Takeda will become Amgen’s worldwide partner for motesanib diphosphate (AMG 706), and will pay Amgen $100 million upfront, $175 million in success-based milestones for the first two indications, and royalties on sales in Japan. Takeda will also pay 60% of ongoing clinical development expenses outside Japan and the two companies will share profits outside Japan.
   
“We are excited about the agreements with Amgen, and also to welcome Amgen KK into Takeda Group,” said Takeda president Yasuchika Hasegawa. “The target indications of the molecules we licensed from Amgen, such as cancer and bone/joint diseases, are in our core therapeutic areas. We believe they will enhance our R&D pipeline and we are looking forward to offering novel treatment options to the patients with such diseases and to physicians as early as possible, through conducting development activities in close collaboration with Amgen.”
   
“The development programs included in this collaboration represent the growth engine for Amgen in the next decade,” said Amgen chairman and chief executive officer, Kevin Sharer. “Takeda’s confidence in these programs validates their potential to become innovative therapies for patients in Japan and worldwide. We value and respect Takeda’s strong development and marketing capabilities and look forward to working with the leading pharmaceutical company in Japan.”
   
The partnership includes Amgen’s Vectibix (panitumumab), motesanib diphosphate and additional molecules in oncology, inflammation and neurology/pain. With the exception of oncology candidate motesanib diphosphate, all molecules included in the partnership are biologics. Amgen retains certain co-promotion rights in Japan on all programs.