Kindred Biosciences Inc. could earn tens of millions of dollars as part of an agreement with Elanco Animal Health involving KindredBio’s promising canine parvovirus treatment, KIND-030.
An estimated 250,000 cases of canine parvovirus occur annually in the United States, according to Banfield Pet Hospital. Dogs can be vaccinated against the deadly disease, which has no approved cure.
The two companies reported that Elanco was granted exclusive global rights to KIND-030, an monoclonal antibody that could be used as prophylactic therapy to prevent clinical signs of canine parvovirus infection and as a treatment of established parvovirus infection. Positive results from a pivotal efficacy study of the prophylactic indication were announced in September.
“Completion of the upcoming pivotal efficacy study for the therapeutic indication is expected in the first quarter of 2021,” the company stated. “KindredBio will provide an update on the timing of KIND-030’s expected approval at the time of announcing the company’s fourth-quarter 2020 results.”
Regulatory approval would be a big revenue generator for KindredBio.
“Under the terms of the agreement, KindredBio will receive an upfront payment of $500,000, development milestone payments of up to $16 million upon achievement of certain development, regulatory and manufacturing targets, and sales milestones in an aggregate amount of up to $94 million payable throughout the term of the agreement,” the company stated. “Furthermore, royalty payments are to range from the low to high teens.”
Elanco, which manufactures animal drugs and vaccines and distributes them worldwide, has high hopes for KIND-030.
“With parvovirus on the rise, it’s more important than ever to bring a new treatment option to veterinarians for this devastating and deadly disease,” said Aaron Schacht, executive vice president of innovation, regulatory and business development. “Given our significant global access to veterinarians and pet owners, Elanco has a proven track record of partnering with biotech companies, leveraging our R&D capabilities and our skilled team of experts to advance and prove the potential of novel treatments like KIND-030.”
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