November 18th, 2009

Philadelphia Inq reports:

GlaxoSmithKline P.L.C. said it agreed to a licensing deal in which it eventually could pay $500 million or more for rights to an experimental anti-smoking vaccine. London-based Glaxo, which has large operations in Philadelphia, will initially pay Nabi Biopharmaceuticals, Rockville, Md., $40 million for the rights to Nabi’s NicVax treatment. NicVax is undergoing trials as a treatment for nicotine addiction, and to prevent smoking relapse. It is being developed to block nicotine from reaching receptors in the brain. Additional payments to Nabi would come from option fees and reaching regulatory, development and sales milestones for NicVax and follow-on nicotine vaccines, the companies said. The deal will close in the first quarter of 2010, the companies said. Nabi shares closed up 26.4 percent at $4.50. Glaxo shares closed up 1.1 percent at $41.90. -