Amgen and Cytokinetics announced a collaboration to develop heart failure drugs that could yield smaller Cytokinetics more than $600 million depending on development success.
Cytokinetics is receiving an up-front fee of $42 million. In addition, Amgen has purchased nearly 3.5 million shares of Cytokinetics at $9.47 a share, or an aggregate price of about $33 million. Cytokinetics shares closed last Friday at $7.48.
Amgen gained an option to participate in development and commercialization of Cytokinetics' lead drug candidate arising from the heart-failure program, CK-1827452, which recently completed two Phase 1 clinical trials.
Cytokinetics also may receive milestone payments of up to $600 million on CK-1827452 and other products arising from the research as well as royalties, the companies said.