Basilea licenses ARQ 087 from ArQule Inc for non Chinese markets as a treatment for biliary cancer.

Basilea Pharmaceutica Ltd. announced that it has entered into a license agreement with ArQule, Inc. for its oncology drug candidate ARQ 087 (derazantinib), which targets the fibroblast growth factor receptor (FGFR) family of kinases. The exclusive license is worldwide, excluding the People's Republic of China, Hong Kong, Macau and Taiwan.

Derazantinib is an orally administered small-molecule inhibitor of the FGFR family of kinases and was developed by ArQule for the potential treatment of various solid tumors. It is currently in a Phase III clinical study for intrahepatic cholangiocarcinoma (iCCA), a form of biliary tract cancer for a potential registration. In addition, it is being investigated in a phase 1b study in patients with other solid tumors. FGFR alterations have been identified as potentially important therapeutic targets for various cancers, including iCCA, bladder, breast, gastric and lung cancers. Current scientific literature suggests FGFR alterations exist in a range of 5% to 30% in these cancers.

Under the terms of the agreement, ArQule grants Basilea rights to research, develop, manufacture and exclusively commercialize derazantinib worldwide, excluding the People's Republic of China, Taiwan, Hong Kong and Macau. Basilea will make an upfront payment to ArQule of $ 10 million. ArQule is eligible to regulatory and sales milestone payments of up to $ 326 million upon reaching certain clinical, regulatory and commercial milestones as well as staggered single to double-digit royalties on sales upon commercialization.