Genmab has reached the first milestone in the collaboration with H. Lundbeck A/S to create and develop human antibody therapeutics for disorders of the central nervous system (CNS). The milestone triggers a payment of €1 million to Genmab.  Under the collaboration with Lundbeck Genmab creates novel human antibodies to three targets identified by Lundbeck and Lundbeck has access to Genmab’s antibody creation and development capabilities, including its state of the art, fully automated pre-clinical antibody screening and characterization capabilities and its proprietary stabilized IgG4 and UniBody therapeutic antibody platforms.

Under the terms of the agreement, Genmab received an upfront payment of €7.5 million in October 2010 (approximately DKK 56 million).  Lundbeck fully funds the development of the antibodies. If all milestones in the agreement are achieved, the total value of the agreement to Genmab would be approximately €38 million (approximately DKK 283 million), plus single-digit royalties.

“We are delighted to have met the first proof of concept in vitro milestone in the Lundbeck partnership, a collaboration which is progressing extremely well as shown by the fact that we met this milestone ahead of time,” said Jan van de Winkel, Ph.D., Chief Executive Officer of Genmab.

Today’s news will not have an impact on Genmab’s 2011 financial guidance.