Glenmark Pharma shares rise 3% as arm receives $700 mn, more details  

Shares of Glenmark Pharmaceuticals rose 3% in early deals on Tuesday after the firm said its subsidiary has received has received an upfront payment of $700 million from NYSE listed AbbVie for a molecule used in cancer treatment.

"Ichnos Glenmark Innovation (IGI), Glenmark’s wholly owned subsidiary, has received an upfront payment of $700 million from AbbVie. The payment is in accordance with the agreed contractual terms and is being made towards an exclusive global licensing agreement for IGI’s lead investigational asset, ISB 2001 across North America, Europe, Japan, and Greater China markets," said the pharma firm on Tuesday. 

IGI Therapeutics SA, which is a wholly-owned subsidiary of Ichnos Glenmark Innovation (IGI), an alliance between Glenmark Pharma and Ichnos Sciences Inc, inked an exclusive licensing agreement with AbbVie for IGI's lead investigational asset, ISB 2001, said Glenmark on July 10 this year. 

AbbVie will receive exclusive rights to develop, manufacture and commercialise ISB 2001 across North America, Europe, Japan and Greater China. According to the agreement, IGI would receive an upfront payment of $700 million and is eligible to receive up to $1.225 billion in development, regulatory and commercial milestone payments, along with tiered, double-digit royalties on net sales.

Glenmark Pharmaceuticals shares climbed 3% to Rs 2,117.95 on BSE today. Market cap of the firm rose to Rs 59,574 crore.