Genentech terminates dacetuzumab collaboration agreement with Seattle Genetics

Seattle Genetics, Inc. (Nasdaq: SGEN) today reported that it has been notified by Genentech, a wholly owned member of the Roche Group (SIX: RO, ROG; OTCQX: RHHBY), that Genentech has elected to terminate the companies’ collaboration agreement for dacetuzumab (SGN-40). Dacetuzumab is a monoclonal antibody targeting CD40 that has been investigated in clinical trials for non-Hodgkin lymphoma and multiple myeloma. The decision is a result of Genentech’s ongoing portfolio review process.

“We will evaluate available data as we consider possible next steps for the dacetuzumab program,” said Clay B. Siegall, Ph.D., President and Chief Executive Officer of Seattle Genetics. “We remain focused on advancing our lead product candidate, brentuximab vedotin (SGN-35), which we are positioning for a potential new drug application in 2011, as well as multiple other clinical and preclinical programs in our portfolio.”

Under the terms of the dacetuzumab collaboration agreement, the effective date of the termination will be 180 days from the date of notification, or June 8, 2010, at which time all rights to dacetuzumab will be returned to Seattle Genetics. Genentech will remain responsible for funding development costs associated with completing all ongoing clinical trials for dacetuzumab as of the effective date of termination. Dacetuzumab is currently being evaluated in four ongoing phase Ib clinical trials in combination with standard regimens for patients with relapsed or refractory non-Hodgkin lymphoma and multiple myeloma. Seattle Genetics’ antibody-drug conjugate (ADC) collaboration with Genentech is unaffected by this termination.