(Reuters) -Swiss drugmaker Novartis will pay up to $1 billion to U.S. biotech Matchpoint Therapeutics to develop oral drugs for several inflammatory diseases.
Matchpoint said on Thursday it will use its technology to develop drugs that block the activity of a specific protein, helping to lower the production of inflammation-causing signals.
The company will lead the research and drug development process, using the funding from Novartis.
If Novartis exercises its option to exclusively license the program, the drugmaker will have global rights to develop and commercialize all products resulting from the collaboration.
Matchpoint said it will receive up to $60 million in upfront payment and research funding, with up to $1 billion in total potential payments, including option exercise fee, and development and commercial milestones.
(Reporting by Christy Santhosh in Bengaluru; Editing by Sriraj Kalluvila and Shinjini Ganguli)
