Roche terminates agreement: Prohibited to develop related compounds for 10 yrs

UPDATE 1-Ligand Pharma says Roche terminates agreement

* Roche prohibited to develop related compounds for 10 yrs

Nov 23 (Reuters) - Ligand Pharmaceuticals Inc (LGNDD.O) said Swiss drugmaker Roche Holding AG (ROG.VX) was exercising its right to terminate the collaboration and license agreement between the two companies on developing hepatitis C treatment.
The collaboration and license agreement with Roche began in 2008 to develop new treatments for hepatitis C viral infection using liver-targeting technology.
In April, Ligand received $6.5 million milestone payment from Roche.
As per the agreement, Ligand will receive a non-exclusive, worldwide, royalty-bearing license under specified Roche patents to develop, make and sell related compounds and products, subject to royalty payments on net sales.
Roche will be prohibited for ten years following the termination from developing or commercializing related compounds, Ligand said in a regulatory filing.
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