Benzinga | Dec 11, 2020 08:02AM EST

Elanco Reports Deal with KindredBio For Canine Parvovirus Therapy To Market; Global License Includes $500K Upfront Payment, Added Milestones

Elanco Animal Health Incorporated (NYSE:ELAN) today announced an agreement with Kindred Biosciences (NASDAQ:KIN) to acquire exclusive global rights to KIND-030, a first-of-its-kind monoclonal antibody being developed for the treatment and prevention of canine parvovirus (CPV). This deadly disease impacts at least 250,000 puppies annually in the U.S., according to Banfield Pet Hospital1, with no approved treatment available.

Data from BluePearl Specialty and Emergency Pet Hospital, noted a 70% increase in positive parvovirus cases in their hospitals due to increased adoptions and higher volumes of dogs moving through shelters during the COVID-19 pandemic.

"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, Innovation, Regulatory and Business Development at Elanco. "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. We're excited to establish this important partnership with KindredBio to develop and commercialize this novel monoclonal antibody."

KIND-030 is planned to be a cost-effective alternative to supportive care, which strengthens Elanco's overall vaccine and therapeutics portfolios. It is currently being pursued for two indications in dogs: prophylactic therapy to prevent clinical signs of canine parvovirus infection and treatment of established parvovirus infection. Completion of the upcoming pivotal efficacy study for the therapeutic indication is expected in the first quarter of 2021.

"Today's announcement brings us a step closer to saving hundreds of thousands of dogs exposed to this deadly disease each year," said KindredBio's CEO, Richard Chin, M.D. "We are excited to partner with Elanco, known as an innovation partner of choice for its proven track record in effective collaboration to commercialize external innovation. We believe KIND-030 can transform the way parvovirus infections are treated and prevented."

The global license includes an upfront payment of $500,000 and additional milestone payments based on successful completion of development targets, including efficacy, formulation and manufacturing. Sales performance will result in royalties and additional milestone payments for achieving revenue targets. Additionally, as part of the agreement, KindredBio also has a right of last refusal to manufacture certain other Elanco monoclonal antibodies.