Emergent BioSolutions and Abbott Terminate Agreement

Biotechnology company, Emergent BioSolutions (NYSE:EBS) announced today that Abbott Laboratories (NYSE: ABT) has terminated an agreement between the two companies to develop and commercialize its TRU-016 program. The program is expected to eventually lead to the therapeutic drugs for lymphocytic leukemia and non-Hodgkin’s lymphoma.

Rockville-based Emergent BioSolutions will still move forward with the TRU-016 program but on its own. Abbott said it had to prioritize its portfolio of co-development programs but is still obligated assist Emergent as the partnership winds down.

Emergent also announced today that it would receive a $6 million milestone payment from Abbot due to the start of the Phase 2 study for TRU-016.

“Emergent remains committed to continued clinical evaluation of TRU-016 in B-cell malignancies,” stated Daniel J. Abdun-Nabi, President and Chief Operating Officer at Emergent BioSolutions. “We look forward to TRU-016’s continued progress in the current ongoing clinical trials.”

The transition and agreement will last through March 20, 2012.

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