Ceregene Signs a Partner for Parkinson's Disease Drug

Ceregene Inc. scored a big biotech partner in developing its phase two therapy for Parkinson's disease.

Cambridge, Mass.-based Genzyme Corp., one of the country's largest biotechs, will pay Ceregene a $25 million upfront payment and milestone payments of up to $125 million, as well as a 50 percent

Genzyme will hold marketing rights in all markets outside the United States and Canada, and will pay Ceregene royalties in those markets.

Ceregene works on gene therapies and neurodegenerative disorders, while Genzyme focuses on rare inherited disorders, kidney disease, cancer and other diseases.

The joint therapy, called CERE-120, is partially being funded by the Michael J. Fox Foundation for Parkinson's Re-search. The therapy has demonstrated an ability to slow disease progression and improve symptoms.

The partnership, said Ceregene, along with a $27 million third-round financing in the first quarter, will allow the company to push the drug into the last phase of trials before submitting it to the Food and Drug Administration.

Genzyme is also conducting earlier stage human clinical trials for a gene therapy for Parkinson's.