Amylin/Lifescan AC137 diabetes agreement gives $40 mil. to Amylin in first stage; Glaxo ends collaboration.

Executive Summary

AMYLIN/J&J AC137 DIABETES AGREEMENT INVOLVES $40 MIL. IN FUNDING from Johnson & Johnson to the biotech company during the "first stage" of the collaboration, San Diego-based Amylin said June 21. As of the signing of the agreement, J&J Development Corp. made a $5 mil. equity investment in Amylin and paid an undisclosed licensing fee. In addition, J&J will purchases another $10 mil. in equity during the first phase of the collaboration and its Lifescan subsidiary will pay half the development costs of Amylin's AC137 amylin analog that is being developed for use with insulin to control blood glucose levels in diabetics.